Sixth Circuit Rejects Moving Drug Price Fight to State Court

The Sixth Circuit on Tuesday refused to send a fight between Ohio and two major pharmacy benefit managers back to state court, returning it instead to the federal district court and handing Ohio a loss in its attempt to exert more control over the industry.

States are fighting for more authority over PBMs, which manage prescription drugs for health plans, as public backlash to their business model grows. A number of court battles are playing out in the absence of action from Congress at the federal level.

Ohio Attorney General Dave Yost sued the Cigna Group’s Express Scripts Inc. ...