Caremark Drug Price Dispute With Pharmacy Heads to Arbitration

Nov. 30, 2021, 2:59 PM

An Arkansas independent pharmacy must arbitrate its claims over prescription drug reimbursement rates with Caremark LLC, a federal court in the state said.

An arbitration provision in the 1995 provider agreement signed by Lackie Drug Store Inc.'s former sole owner and incorporated in a provider manual applied in the case, the U.S. District Court for the Eastern District of Arkansas said.

The court rejected Lackie’s argument that the agreement was ineffective because it was signed by Caremark’s predecessor in interest, not Caremark itself. Caremark can enforce the agreement as the original signatory’s successor in interest, it said.

A notice informing ...

To read the full article log in.

Learn more about a Bloomberg Law subscription.