• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
  • Donate Now
  • Sign up for CMA’s weekly newsletter!

Center for Medicare Advocacy

Advancing Access to Medicare and Healthcare

  • Eligibility/Enrollment
  • Coverage/Appeals
    • Medicare Costs
    • Self Help Materials – Toolkits & More
  • Topics
    • Basic Introduction to Medicare
    • Medicare Costs
    • Home Health Care
    • Improvement Standard and Jimmo News
    • Nursing Home / Skilled Nursing Facility Care
    • Outpatient Observation Status
    • Part B
    • Part D / Prescription Drug Benefits
    • Medicare for People Under 65
    • Medicare “Reform”
    • All Other Topics
    • Resources
      • Infographics
  • Publications
    • CMA Alerts
    • Fact Sheets & Issue Briefs
    • Infographics
    • The Medicare Handbook
    • SNF Enforcement Newsletter
    • Elder Justice Newsletter
    • Medicare Facts & Fiction
    • Articles by Topic
  • Litigation
    • Litigation News
    • Cases
    • Litigation Archive
    • Amicus Curiae Activities
  • Newsroom
    • Press Releases
    • Editorials & Letters to the Editor
    • CMA Comments, Responses, and Letters
    • CMA in the News
  • About Us
    • National Voices of Medicare Summit
    • Mission Statement
    • CMA FAQs
    • CMA Annual Impact Report
    • Personnel & Boards
    • The Center for Medicare Advocacy Founder’s Circle
    • Connecticut Dually Eligible Appeals Project
    • Community Outreach and Education Project (COEP)
    • National Medicare Advocates Alliance
    • CMA Webinars
    • Products & Services
    • Testimonials
    • Career, Fellowship & Internship Opportunities
    • Contact Us
  • Support Our Work
    • Donate Now
    • Build a Legacy with CMA
    • Join the Center for Medicare Advocacy Founder’s Circle
    • Take Action
    • Share Your Health Care Story
    • Tell Congress to Protect Our Care
    • Listen to Medicare & Health Care Stories
    • Sign up for CMA’s weekly newsletter!

More Court Wins for the Medicare Drug Price Negotiation

August 14, 2025

Print Friendly, PDF & Email

In a series of decisions last week, federal courts continued to reject the pharmaceutical industry’s attempts to stop the Medicare prescription drug price negotiation program.

  • The Second Circuit Court of Appeals addressed a drug manufacturer’s claims that the Medicare drug price negotiation program violated multiple constitutional rights, including Fifth Amendment due process, Fifth Amendment “taking” without just compensation, First Amendment freedom from compelled speech, and conditioning of participation in Medicare and Medicaid on the relinquishment of the company’s constitutional rights. The court rejected the drug company’s constitutional claims because participation in the negotiation program is voluntary, and because the program “is designed to promote the legitimate government purpose of controlling Medicare spending and does not regulate the company’s conduct in the private market.”
  • A federal district court in Texas similarly ruled that because participation in the negotiation program is voluntary, the plaintiffs were not deprived of due process rights. The court concluded that the plaintiffs do not have a constitutionally protected interest in selling drugs to Medicare “at their professed ‘fair market value.’”
  • The Sixth Circuit Court of Appeals held that the plaintiffs lacked standing to pursue their challenge against the negotiation program in Ohio. Notably, the court criticized what amounted to forum shopping by drug companies by using a regional chamber of commerce as a proxy. The Dayton Chamber of Commerce “appears to be more of a ‘stalking horse’ for Pharmacyclics and AbbVie in seeking a perceived favorable venue that Pharmacyclics and AbbVie could not obtain on their own.”

Drug companies and their allies have brought numerous cases nationwide challenging the negotiation program, which was established by the Inflation Reduction Act of 2022. The law empowers Medicare to use its considerable bargaining power to obtain lower prices for certain expensive medications, helping beneficiaries afford life-sustaining prescription drugs while protecting Medicare’s financial integrity and saving taxpayers billions of dollars.

The Center for Medicare Advocacy is part of a coalition led by AARP submitting amicus briefs in support of the Medicare drug price negotiation program. While we applaud these continuing court victories, the Center is disappointed that the recently enacted H.R.1 “One Big Beautiful Bill Act” rolls back Medicare’s ability to negotiate drug prices. We will continue to monitor the progression of the pharmaceutical industry’s litigation as more cases are appealed, and we will advocate for Medicare to use its bargaining power to help beneficiaries and taxpayers alike.

August 14, 2025 – A. Bers

Filed Under: Article

Primary Sidebar

Easy Access to Understanding Medicare

The Center for Medicare Advocacy produces a range of informative materials on Medicare-related topics.
Sign Up for CMA's Free Newsletter
Register for CMA's Free Webinars

  • Medicare Basics
  • Medicare Reform
  • CMA Alerts
  • Fact Sheets & Issue Briefs
  • CMA Webinars
  • Connecticut Info & Projects
  • Health Care Stories
  • Se habla Español

Jimmo v. Sebelius

Medicare covers skilled care to maintain or slow decline as well as to improve.

Improvement Isn’t Required. It’s the law!

Read more.

National Voices of Medicare Summit

With the many threats currently facing the Medicare program, now is the time to come together as allies and explore ways to advocate for comprehensive Medicare coverage, health equity, and quality health care. Drawing inspiration from real-life experiences and stories of beneficiaries and caregivers, we hope to share impactful discussions with you.

Learn more.

Center for Medicare Advocacy Follow 10,555 5,337

A national nonpartisan, nonprofit law organization working to advance access to comprehensive #Medicare coverage and quality #healthcare.

CMAorg
CMAorg avatar Center for Medicare Advocacy @CMAorg ·
13 Apr 2043736120652124214

Who should be part of the conversation about Medicare’s future?
⠀
Advocates. Caregivers. Attorneys. Researchers. Policymakers. Beneficiaries.
⠀
If Medicare matters to you or the people you serve, join us virtually for free on May 20 from 12:00-4:30 PM ET for our 13th annual

Reply on Twitter 2043736120652124214 Retweet on Twitter 2043736120652124214 1 Like on Twitter 2043736120652124214 0 X 2043736120652124214
CMAorg avatar Center for Medicare Advocacy @CMAorg ·
10 Apr 2042683317070250446

We are proud to honor Dr. Natalia Chalmers as the 2026 recipient of the Alfred J. Chiplin, Jr. Social Justice & Advocacy Award at the National Voices of Medicare Summit.
⠀
Join us May 20, 12:00–4:30 PM ET, for this free virtual event bringing together national leaders working to

Reply on Twitter 2042683317070250446 Retweet on Twitter 2042683317070250446 0 Like on Twitter 2042683317070250446 1 X 2042683317070250446
Retweet on Twitter Center for Medicare Advocacy Retweeted
alsadvocacy avatar ALS Advocacy @alsadvocacy ·
9 Apr 2042156830223212822

To me, the coding isn't the point. These are tools that provide better quality patient information. Right/left mistakes are less likely to happen. Inaccurate chronology is reduced.

Reply on Twitter 2042156830223212822 Retweet on Twitter 2042156830223212822 1 Like on Twitter 2042156830223212822 1 X 2042156830223212822
CMAorg avatar Center for Medicare Advocacy @CMAorg ·
8 Apr 2041979725334376804

Medicare is at a crossroads.

Join national advocates, policymakers, legal experts, and researchers on May 20, 12:00–4:30 PM ET, for the Center for Medicare Advocacy’s 13th Annual National Voices of Medicare Summit: Defending the Public Promise.

Free virtual event. Register:

Reply on Twitter 2041979725334376804 Retweet on Twitter 2041979725334376804 0 Like on Twitter 2041979725334376804 1 X 2041979725334376804
Load More

Footer

Stay Connected:

  • Contact Us
  • Sitemap
  • Products & Services
  • Copyright/Privacy

© 2026 · Center for Medicare Advocacy