Source – Bristol Myers Squibb
Following Merck’s shocking lawsuit that contested several provisions of the Inflation Reduction Act (IRA), Bristol-Myers Squibb has now filed its own lawsuit.
The multinational pharmaceutical company with headquarters in New York followed Merck’s lead and questioned the legality of several provisions of the law. BMS specifically claims that the price-setting aspects of the IRA, which let Medicare to bargain and set prices for certain pharmaceuticals, infringe upon the First and Fifth Amendments of the US Constitution.
BMS contends that the Fifth Amendment’s demand that the government pay a fair price for property meant for the public benefit is violated by the requirement that drugmakers offer their cutting-edge medications at rates determined by the government.
In addition, the corporation claims that the act’s mandate that businesses publicly support Medicare’s negotiated pricing constitutes coerced speech in violation of the First Amendment.
According to a recent statement from the firm, BMS claims that it has “long supported” initiatives to broaden patient access and reduce out-of-pocket medical expenses. The company also claims that it supports some components of the IRA that would promote affordability.
However, the corporation claims it has had serious reservations about the IRA “since its inception,” particularly with regard to what it would mean for R&D. According to BMS, changes have already been made to how it views its development programmes in “oncology and beyond.”
According to the pharmaceutical, the legal structure makes it difficult to pursue new indications and advance new medications, which is “bad for innovation” and patients who depend on the sector.