Drug groups sue Maryland over Rx ‘price gouging’ law
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Title : Drug groups sue Maryland over Rx ‘price gouging’ law
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WASHINGTON — A group representing manufacturers of generic prescription drugs filed a federal lawsuit against Maryland Thursday, trying to stop the state’s new “price gouging” law from taking effect.
The Association for Accessible Medicines filed the suit in U.S. District Court, calling the measure “an unconstitutional overreach.”
“Rather than allow the vibrant competition in the generic drug marketplace to continue working for patients, Maryland would become the first state to reject generic competition in favor of more government regulation,” said AAM’s CEO Chip Davis.
Under the law, which is set to take effect in October, Maryland’s attorney general would have the power to bring civil actions against manufacturers of off-patent or generic drugs that make “unconscionable” price increases.
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The Association for Accessible Medicines filed the suit in U.S. District Court, calling the measure “an unconstitutional overreach.”
“Rather than allow the vibrant competition in the generic drug marketplace to continue working for patients, Maryland would become the first state to reject generic competition in favor of more government regulation,” said AAM’s CEO Chip Davis.
Under the law, which is set to take effect in October, Maryland’s attorney general would have the power to bring civil actions against manufacturers of off-patent or generic drugs that make “unconscionable” price increases.
More
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