One of the world's largest pharmaceutical companies is suing Utah Attorney General Derek Brown over a law AstraZeneca calls "unconstitutional" and which opens up options for hospitals, clinics and pharmacies to purchase discounted drugs.
Utah Insurance Commissioner Jon Pike was also named in the lawsuit that targets SB69, a law that went into effect last month after being passed during the state's recent legislative session.
Sponsored by Sen. Evan Vickers (R-Cedar City), SB69 aims to open up access to where pharmacies and other medical facilities can purchase discounted drugs, and not allow pharmaceutical companies to limit that access to certain companies.
Filed in U.S. District Court in Utah last month, the AstraZeneca lawsuit focuses on 340B entities, which are healthcare organizations, such as a hospital or clinic, that participates in the 340B Drug Pricing Program, allowing it to purchase outpatient prescription medications at significantly reduced prices to help provide affordable care to underserved populations.
Supporters of the bill claim it was needed because major drug companies attempt to limit where hospitals, clinics and pharmacies covered under the 340B program could purchase the discounted medication.
