CVS Entities Fail to Dump Proposed Drug-Price Fraud Class Action

CVS Health Corp. and related entities must answer claims that they blocked Medicare Part D beneficiaries’ access to generic drugs as part of a conspiracy with brand-name drugmakers to squeeze out the competition, a federal court said.

The beneficiaries’ proposed class action alleging civil violations of the federal Racketeer Influenced and Corrupt Organizations Act, common-law fraud, and violations of state consumer protection laws will go forward, the US District Court for the Eastern District of Pennsylvania said Thursday. Judge John Milton Younge dismissed only claims alleging unjust enrichment and violations of an Idaho consumer protection law.

Pharmacy benefits managers, pharmacies, ...