Pharmaceutical Research & Mfrs. of America v. Walsh
The Pharmaceutical Research & Manufacturers of America (PhRMA) brought an action in district court against the Commissioner of the Maine Department of Human Services and the Maine Attorney General, challenging the constitutionality of the Maine Act to Establish Fairer Pricing for Prescription Drugs (the Act). The district court granted a preliminary injunction for PhRMA, staying the implementation of the Act. The court of appeals reversed, holding that (1) the Act was not preempted by the Medicaid statute and (2) the Act did not violate the dormant Commerce Clause.
Questions Presented:
1. Whether the federal Medicaid statute, 42 U.S.C. ยง 1396 et seq., precludes Maine from limiting Medicaid patients' access to prescription drugs as a means of compelling drug manufacturers
to subsidize price discounts for non-Medicaid populations.
2. Whether Maine violates the Commerce Clause by requiring an out-of-state manufacturer that sells its products to wholesalers outside the state to remit a payment to the state each time one of the
manufacturer's products is subsequently sold by a retailer within the state.
