Drug companies sue to block Medicare drug price negotiations authorized by the Inflation Reduction Act

Multiple pharmaceutical companies file federal lawsuits challenging the constitutionality of the IRA''s Medicare drug price negotiation program within days of CMS selecting the first 10 drugs. Bristol-Myers Squibb, Merck, Johnson & Johnson, AstraZeneca, and the U.S. Chamber of Commerce file separate suits in federal district courts, arguing the program violates the First and Fifth Amendments. The companies claim the program amounts to compelled speech and an unconstitutional taking of property. All manufacturers nevertheless agree to participate in negotiations, as the alternative — exiting Medicare and Medicaid — would cost more than the price reductions. Courts ultimately allow the program to proceed.