Health Tech Company Sues HHS for Rejection of Drug Rebate Model

Kalderos Inc., is urging a federal court to reject a health agency’s decision that prohibits Eli Lilly & Co. from using its system to discount medicines through a rebate model under the 340B Drug Pricing Program.

The health technology company Monday filed an amended complaint in the US District Court for the District of Columbia against the US Health Resources and Services Administration, defending its electronic platform as a mechanism to administer prices under the federal 340B Drug Pricing Program.

Drugmakers under the federal program are required to discount drugs for covered entities, which are qualifying hospitals, clinics, and providers ...