Eli Lilly headquarters located in Indianapolis, Indiana. Photo: Diego M. Radzinschi/NLJ'Nuclear Option'?: Eli Lilly Taps Big Law Firms in Federal Drug Pricing Dispute
The Health Resources and Services Administration has “invoked the nuclear option of removal from not only the 340B program but also Medicaid and Medicare Part B if manufacturers implement a cash replenishment model,” counsel for Eli Lilly—the manufacturer of Mounjaro, Trulicity and other treatments for weight loss or diabetes—alleged in their complaint.
November 18, 2024 at 05:53 PM
3 minute read
What You Need to Know
- Kirkland & Ellis and Hogan Lovells represent Eli Lilly in a lawsuit the drug company filed against the U.S. Department of Health and Human Services.
- Lilly alleges the federal government unlawfully rejected its cash rebate program.
- Section 340B of the Public Health Service Act requires drug companies to sell medicine at discounted prices.
Kirkland & Ellis and Hogan Lovells have filed a lawsuit alleging President Joe Biden’s secretary of Health and Human Services unlawfully rejected Eli Lilly’s alternative plan for making drugs more affordable to low-income and uninsured patients.
The manufacturer of Mounjaro, Trulicity and other treatments for weight loss or diabetes accuses the U.S. Department of Health and Human Services of banning Big Pharma from implementing a cash replenishment rebate program in violation of the Administrative Procedure Act.
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