Chief Healthcare Executive May 24, 2024
Ron Southwick

A federal appeals court ruled in favor of two drug companies in a dispute over a federal program offering lower prices on outpatient drugs. Hospitals say drug companies are improperly curbing discounts.

Hospitals have suffered a setback in a legal battle over the federal program designed to give providers lower prices to certain drugs.

The U.S. Court of Appeals in Washington, D.C. ruled in favor of two drug companies in a dispute over the 340B Drug Pricing Program, which allows hospitals to buy some outpatient medications at lower prices. Hospitals have argued that drug companies are improperly putting restrictions on drugs in the program.

The U.S. Department of Health and Human Services has fought the efforts of drug companies to...

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