Health System Pays $7.25 Million in Settlement of 340B-Involved Kickback Allegations, without Liability Findings

Methodist Le Bonheur Healthcare building
Methodist Le Bonheur Healthcare and the federal government have settled a 340B-related False Claims Act suit against the system.
A Memphis-based health system agreed to a $7.25 million settlement—without admitting wrongdoing—of federal allegations that it paid kickbacks funded, in [...]

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2024 340B Contract Pharmacy Outlook: Expect More State Than Federal Action, Say Attorneys and Lobbyists

US Eighth Circuit Court of Appeals building
A decision upholding Arkansas' state contract pharmacy law from the U.S. 8th Circuit Court of Appeals could cause more states to push similar laws, attorneys and lobbyists said.
Amid expected congressional gridlock, there is a much higher likelihood of state legislative action on 340B contract pharmacies than federal [...]

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Federal Government Passes on Appealing Key Patient Definition Ruling

Genesis Health care facility and signage
The Biden administration will not appeal a high-profile November federal court ruling on the 340B patient definition.
The Biden administration will not appeal a high-profile November federal court ruling to prohibit enforcement of a 340B patient definition [...]

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2024 Congressional 340B Outlook: Overhaul Unlikely Without Major Legal Developments, Senate Deal

US Capitol
Congress is unlikely to pass a 340B program overhaul in 2024 unless there is unexpected pressure from appellate court decisions or a Senate "group of 6" breakthrough, attorneys and lobbyists said.
In 2024, congressional gridlock and election year dynamics will likely slow momentum on any comprehensive 340B program reform package, lobbyists [...]

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News Alert

Novo Nordisk, Arkansas Reach Temporary Deal Amid Contract Pharmacy Fight

Arkansas Insurance Department office sign
The Arkansas Insurance Department will imminently enforce a state 340B contract pharmacy law following a key federal appeals court decision.
Novo Nordisk will lift restrictions in Arkansas on 340B providers’ contract pharmacy arrangements and Arkansas will suspend enforcement against the [...]

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Hospital Groups Urge Federal Court to Dismiss Drug Industry Suit Against Louisiana Law

Jeff Landry headshot
Four hospital associations filed an amicus brief in support of Louisiana Attorney General Jeff Landry's defense of his state's contract pharmacy law.
Four hospital associations are asking a federal judge in Louisiana to throw out a suit filed by the drug industry [...]

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2023 Contract Pharmacy Developments: Surging Restrictions, State Law Legal Battles

In 2023, Arkansas became the first state to move to enforce a 340B contract pharmacy law as manufacturer restrictions continued to increase.
In 2023, the battle over the use of contract pharmacy arrangements by 340B providers was marked by increasing drugmaker restrictions, [...]

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Louisiana, Health Centers Seek Dismissal of Contract Pharmacy Law Challenge

AstraZeneca headquarters
The state of Louisiana and a coalition of community health centers urged a federal district court to dismiss AstraZeneca's lawsuit against a state contract pharmacy law.
Attorneys representing the state of Louisiana and 340B providers urged a federal judge to dismiss AstraZeneca’s lawsuit against Louisiana’s contract [...]

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Arkansas, Novo Nordisk Clash Over Court’s Role in Contract Pharmacy Law Enforcement

Novo Nordisk logo on building
Novo Nordisk and the Arkansas Insurance Department are at odds over whether a federal district court should intervene in the enforcement of Arkansas' 340B contract pharmacy law.
Novo Nordisk and the Arkansas Insurance Department (AID) are sparring in court over whether a federal district court should hear [...]

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N.Y. State, Health Centers Seek Brief Pause in Medicaid Drug Benefit Lawsuit

The parties involved in a legal challenge over certain Medicaid managed care drug benefits have jointly asked for a pause in proceedings.
Both sides in a lawsuit over New York state’s transfer of Medicaid managed care drug benefits to Medicaid fee for [...]

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