STAT+: Johnson & Johnson sues to stop Medicare negotiation

Pharmaceutical giant Johnson & Johnson is the third drugmaker to sue the Biden administration over its new Medicare drug price negotiation program.

Jul 18, 2023 - 20:00
STAT+: Johnson & Johnson sues to stop Medicare negotiation

WASHINGTON — Pharmaceutical giant Johnson & Johnson on Tuesday became the third drugmaker to sue the Biden administration over its new Medicare drug price negotiation program.

J&J joins a flurry of litigation challenging the Medicare drug price negotiation program, which is set to start this fall. Merck, Bristol Myers Squibb, the brand-drug lobby PhRMA, and the U.S. Chamber of Commerce have also filed suit. The negotiated prices would go into effect in 2026.

The company argued that it is entitled to sue because its blockbuster blood thinner drug Xarelto may be up for negotiation in the first round of ten drugs Medicare will examine, but that list is not set to be announced officially until Sept. 1.

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