Johnson & Johnson became the third pharmaceutical company to sue the Biden administration over its new Medicare drug price negotiation program on Tuesday.
J&J joins a spate of lawsuits challenging the Medicare drug price negotiation program, which is scheduled to begin in the autumn. Merck, Bristol-Myers Squibb, PhRMA, and the U.S. Chamber of Commerce have also filed suit. In 2026, the negotiated prices would become effective.
The company argued that it has the right to sue because its blockbuster blood thinner drug Xarelto may be up for negotiation in the first round of ten medicines Medicare will review, but this list will not be officially released until September 1.