More Than 800 Hospitals Pressure HHS to Appeal Federal Court Ruling on 340B Drug Discount Program

December 29, 2021

A group of 852 hospitals has sent Department of Health and Human Services (HHS) Secretary Xavier Becerra a letter pressing HHS to appeal a federal court ruling that drugmakers have the ability to restrict sales of medicine that’s handled by contract pharmacies as part of the 340B drug discount program.

The letter, which asked HHS to “press for a restoration of 340B pricing as rapidly as possible,” comes in the wake of several drugmakers filing lawsuits against HHS in September after it threatened to fine the companies for restricting sales to the contract pharmacies.

The hospitals pointed out that two federal courts have ruled drug companies are violating the law and don’t have the right to unilaterally impose these types of restrictions on 340B discounts.

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