RFK Jr. Sued By Eli Lilly, Amgen Over Drug Discount Program

Three major pharmaceutical companies, Amgen Inc. (NASDAQ:AMGN), Eli Lilly and Co (NYSE:LLY), and UCB SA (OTC:UCBJY) (OTC:UCBJF), are suing U.S. Secretary of Health and Human Services (HHS) Robert F. Kennedy Jr. over the way his department is handling a drug discount program.

What Happened: The companies allege that HHS cost them millions of dollars in losses due to improperly certifying ineligible clinics under Section 340B of the Public Health Service Act.

In November 2024, Bristol-Myers Squibb Co (NYSE:BMY) filed a lawsuit on Tuesday against the HRSA and HHS, alleging that HRSA’s rejection of its proposed rebate model for the 340B Drug Pricing Program violates federal law.

Also Read: How 340B Drug Discounts Are Driving Up Medicaid Costs By Billions

Section 340B requires drugmakers to offer significant discounts to certain healthcare providers serving vulnerable populations. However, eligibility is strictly ...