December 7, 2021

Volume XI, Number 341

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December 07, 2021

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December 06, 2021

Subscribe to Latest Legal News and Analysis

Saga of “Most Favored Nations”

On Wednesday, December 23, 2020, a Maryland Federal District Court Judge issued a TRO blocking the Trump administration’s attempt to institute, pursuant to an administrative rule, a Most Favored Nations approach for dozens of drugs under the Medicare Program.

The challenge made to the administrative rule was that it was issued under the “emergency” provisions of the Administrative Procedure Act.  The Plaintiffs argued that the Federal government did not present adequate justification for the use of that provision for the adoption of an administrative rule, rather than use the normal avenue requiring public comment prior to the adoption of the rule.

It is highly unlikely that this issue will be resolved during the remaining couple of weeks of the Trump administration.  Therefore, it will be up to the Biden administration as to whether or not they want to (i) continue the litigation to justify the rule, (ii) take the approach of readopting the rule pursuant to the provision for public review and comment prior to the adoption of the rule, or (iii) abandon the entire Most Favored Nations approach to pricing of pharmaceuticals in the United States altogether.  What is clear, is that the rule will not be implemented during the remaining couple of weeks of the Trump administration.

As can be seen by our prior blogs we have been an advocate for the “Most Favored Nations” approach for a number of years.

© 2021 Giordano, Halleran & Ciesla, P.C. All Rights Reserved National Law Review, Volume X, Number 364
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About this Author

Frank R. Ciesla, Giordano Law Firm Health Care Litigation Health Care Fraud and Abuse Tax Health & Hospital Law
Of Counsel

Mr. Ciesla is Chair Emeritus of the firm's Health Care Law Practice Area. His practice is primarily devoted to Health Care and Government Contracts Law. He counsels clients on legal developments facing healthcare providers in the modern health care environment. Firm clients include hospitals, nursing homes, physicians and physician groups, individual practice associations, home health agencies, ambulance carriers and industry-wide associations.

Mr. Ciesla advises such clients on business structures, mergers and consolidations, joint ventures, reorganization of health care providers...

732-741-3900
Beth Christian, Giordano Law firm, Health Care Attorney,Health Care Fraud and Abuse, Cannabis Law, Non-Profit Law
Shareholder

Ms. Christian's practice is devoted to Health Care Law and legal issues facing Health Care facilities licensed professionals and non-profit organizations. She has over twenty years of experience counseling clients on legal issues facing the modern health care and non-profit communities.

732-219-5485
Anjali Baxi, Giordano Halleran Law Firm, Healthcare Attorney, New Jersey health Law,Cannabis Law,Government Affairs,Business Transactions, Health Care Law Regulation, Medicare and NJ Medicaid Enrollment
Counsel

Anjali has been practicing law for 15 years, mainly focused on health care transactional and regulatory matters. She prepares and reviews LOIs, purchase agreements and other transaction documents for health care providers needed for the business transfer and necessary for the transfer of NJDOH and NJDHS licenses and provider numbers. She also reviews agreements required for the day to day operations of health care facilities.

She has counseled skilled nursing, assisted living, adult medical day care, outpatient facility clients and hospitals regarding NJDOH regulatory requirements,...

732-741-3900
Ari G. Burd, Shareholder, Giordano Law Firm, Labor & Employment, Cannabis Law, Health Care
Shareholder

Ari devotes his time to assisting and defending employers with regard to traditional employment issues. He frequently counsels employers for compliance with New Jersey laws and has extensive transactional and litigation experience.

Ari has litigated employment matters throughout the state, having made appearances in almost every Superior Court in New Jersey, as well as before both Federal District Courts in New Jersey and the Federal and State Courts in New York.  These actions have involved a diverse range of claims such as wrongful discharge, discrimination, harassment,...

732-741-3900
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