Appeals Court Upholds Ruling Against D.C. Drug Price Controls
The U.S. Court of Appeals for the Federal Circuit has upheld a lower court ruling striking down a Washington, D.C., law that would have imposed price controls on patented drugs sold within the nation’s capital.
The Excessive Pricing Act passed by the D.C. City Council states, “It shall be unlawful for any drug manufacturer or licensee thereof, excluding a point of sale retail seller, to sell or supply for sale or impose minimum resale requirements for a patented prescription drug that results in the prescription drug being sold in the district for an excessive price.”
The appeals court noted that “the statutory term ‘excessive price’ is not specifically defined.” In October 2005, PhRMA and the Biotechnology Industry Organization filed suit in the U.S. District Court for the District of Columbia to have the law overturned, and the court ruled in their favor Dec. 22, 2005.
The appeals court has now backed the lower court’s reasoning: “Because the federal patent laws preempt the act, we affirm the district court’s injunction against the act’s enforcement.”Upcoming Events
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