A federal court judge in Ohio denied Friday an attempt by the US Chamber of Commerce to immediately stop the Biden administration’s implementation of Medicare’s new drug price negotiation program.
The ruling was the first time a federal court has weighed in on the multiple lawsuits filed against the controversial program.
The chamber filed a lawsuit in June arguing that allowing Medicare to negotiate drug prices is unconstitutional for several reasons. It then asked for a preliminary injunction to halt the program by October 1, when drug makers have to agree to participate in the program.
“As to Plaintiffs’ motion for a preliminary injunction, they have demonstrated neither a strong likelihood of success nor irreparable harm,” wrote Judge Michael Newman of the US District Court for the Southern District of Ohio, in Dayton.
|Among the arguments are that the program violates the Fifth Amendment’s “takings” clause because it allows Medicare to obtain manufacturers’ patented drugs, which are private property, without paying fair market value under the threat of serious penalties.|
This is an invalid argument, because currently the companies are receiving unfairly inflated market value, and Medicare plans to negotiate down to a fair level.
Not according to the poor drug companies. According to them the prices are far too low.
I wonder what their argument is for being able to go to other countries and sell drugs three to four times less than in the states.