A federal judge sided with drugmakers Monday, blocking a Trump administration rule to require list prices be included in their TV ads.
The Centers for Medicare & Medicaid Services (CMS) announced the rule in May that would require drug manufacturers that sell drugs covered by Medicare and Medicaid to include the cost for a typical course of treatment, such as a 30-day supply of medication for a chronic condition, in their TV ads.
Merck & Co., Eli Lilly and Amgen, along with the Association of National Advertisers, sued the Department of Health and Human Services (HHS) and CMS to block the rule they call unnecessary and unlawful. The rule was set to take effect July 9.
In his decision, U.S. District Judge Amit Mehta for the U.S. District Court for the District of Columbia said the HHS rule would exceed the agency’s statutory authority, even as he clarified he was not opining on HHS' motives for adopting the rule.
HHS spokeswoman Caitlin Oakley said the agency is "disappointed" with the court's decision and will work with the Department of Justice on next steps related to the litigation.