Court win for Eli Lil­ly halts HHS’s drug dis­count rule

The hap­haz­ard way in which HHS pro­mul­gat­ed a rule­mak­ing re­lat­ed to a con­test­ed drug dis­count pro­gram ul­ti­mate­ly led to the rule’s un­do­ing and a win for Eli Lil­ly in a close­ly-watched court case.

The de­ci­sion from Judge Sarah Evans Bark­er of the US Dis­trict Court for the South­ern Dis­trict of In­di­ana, un­veiled late Tues­day, made clear that HHS did not fol­low the prop­er pro­to­col in fi­nal­iz­ing a rule on the drug pro­gram, known as the 340B pro­gram, and that HHS’s mes­sag­ing around its pro­pos­al was “am­bigu­ous, con­fus­ing, du­plic­i­tous, and mis­lead­ing.”

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