A busier day than usual. California confirmed its new licensing rule for nonresident pharmacies, and a federal appeals court revived a whistleblower tool used against health care fraud. Below that, a PBM lawsuit and the latest on 340B.
Nonresident pharmacies now need a California-licensed pharmacist-in-charge
The Board of Pharmacy’s September update confirms it: since July 1, a nonresident pharmacy can’t ship prescriptions to California patients unless its pharmacist-in-charge holds a California license. The Board says it won’t move to shut down good-faith compliance efforts during the transition, but that’s a grace period, not a pass. Read more at California State Board of Pharmacy →
Appeals court revives a whistleblower tool used against health care fraud
The Eleventh Circuit reversed a district court ruling that had declared False Claims Act whistleblower suits unconstitutional. That ruling was the argument PBM and pharmacy defendants were watching closely as a way to head off fraud claims before they started. This closes that door, at least in that circuit. Read more at Frier Levitt →
Florida’s attorney general accuses two PBMs of price fixing
Florida sued Express Scripts and Prime Therapeutics, alleging their 2019 partnership was used to push down pharmacy reimbursement rates. Prime disputes the claim. Another sign of how closely PBM steering and reimbursement practices are drawing regulator attention. Read more at Fierce Healthcare →
Massachusetts advances a broad PBM reform bill
A legislative committee moved Massachusetts House Bill 4493 forward, a package aimed at PBM practices that squeeze independent and community pharmacies. It isn’t California law, but it’s the kind of bill language other states tend to borrow. Read more at Frier Levitt →
States keep winning 340B lawsuits against drug manufacturers
A Colorado federal judge dismissed a drug industry trade group’s challenge to that state’s 340B law, and similar fights are playing out in South Dakota, North Dakota, Maryland and West Virginia. So far, the pattern favors the states. Read more at 340B Report →
AbbVie and Organon expand their 340B exemption lists
Both manufacturers added new states to the list exempt from their 340B contract-pharmacy restrictions, and Amgen published a new FAQ on encounter data requirements. Worth checking if your 340B billing runs through a contract pharmacy relationship. Read more at 340B Report →
This update is general information about developments in pharmacy law and regulation. It is not legal advice, it does not create an attorney-client relationship, and it should not be relied on as a substitute for advice about your own situation. Prior results do not guarantee a similar outcome. If you have a specific question about your pharmacy, call or write and we will talk about it properly.
Law Office of Bhavesh Desai | Bhavesh Desai, Pharm.D., Esq.
18085 Watson Way, Yorba Linda, CA 92886 | (909) 618-7299
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