This Week in 340B: January 2023 #4

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This weekly series provides brief summaries to help you stay in the know on how 340B cases are developing across the country. Each week we comb through the dockets on more than 40 340B cases to provide you with a quick summary of relevant updates from the prior week in this industry-shaping body of litigation.

Issues at Stake: Contract Pharmacy; ADR Rule; Medicare Payment
Where Things Stand:

• An opinion was issued in one of the three federal Appeals Court cases addressing contract pharmacy restrictions. The Court found that HHS could not require drug manufacturers to provide 340B pricing on drugs shipped to an unlimited number of contract pharmacies. The Court also upheld the December 2020 Administrative Dispute Resolution Rule.
• The parties in two stayed cases filed joint status reports in light of the decision in AHA v. Becerra. The government requested that the cases remain stayed pending HHS’s decision on a remedy for past underpayment, while the hospitals asked for the stay to be lifted.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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