NCPA Celebrating Anniversary of Supreme Court Decision for Patients, Independent Pharmacy 

Landmark decision validated years-long and ongoing fight to rein in abusive PBM-insurer powers 

NCPA December 10, 2022

ALEXANDRIA, Va. (Dec. 10, 2022) – Two years on, the National Community Pharmacists Association is continuing to celebrate the landmark ruling supporting states’ rights to regulate pharmacy benefit managers that was issued by the U.S. Supreme Court on Dec. 10, 2020. Joined by several partners, NCPA and the Arkansas Pharmacists Association had jointly commissioned an amicus brief supporting Arkansas Attorney General Leslie Rutledge’s appeal to enforce 2015 pro-pharmacy, pro-consumer legislation that prohibited PBMs from paying pharmacies below cost and allowed pharmacies to refuse to dispense below-cost prescriptions. These tireless efforts resulted in an unanimous decision in Rutledge v. Pharmaceutical Care Management Association that gave states greater authority to protect their local businesses and their patients from PBM overreach.

Marking the anniversary, NCPA issued a statement from NCPA CEO B. Douglas Hoey, pharmacist, MBA:

“This was the first time that PBMs were hauled in front of the Supreme Court, and it resulted in a historic and resounding victory for independent pharmacies and their patients. It was a tremendous step forward in exposing the mega-middlemen, which we anticipate will continue as the Federal Trade Commission and others dig deeper into PBM-insurer business practices.

“Two years after Rutledge, we’ve come a long way, but the fight isn’t over. More than one in four states passed legislation addressing rates or reimbursement since the decision, and many more are also working to enforce what they have on the books. The ruling made it clear; states have the right to enact reasonable regulations in the name of fair competition and public health. We’ll keep working to advance policies like the one at issue in Rutledge that benefit patients and help small business.”

With almost every state having passed some form of PBM regulation over the last several years, NCPA launched an online resource in May 2022 to help pharmacists and patients report possible violations to state insurance regulators and make sure that applicable policies are being followed. Visit NCPA’s resource at ncpa.org/pbm-complaints.

NCPA also celebrated the two-year anniversary in the December 2022 issue of America’s Pharmacist® magazine, which is available at ncpa.org/americas-pharmacist.

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Founded in 1898, the National Community Pharmacists Association is the voice for the community pharmacist, representing over 19,400 pharmacies that employ nearly 240,000 individuals nationwide. Community pharmacies are rooted in the communities where they are located and are among America’s most accessible health care providers. To learn more, visit www.ncpa.org.

NCPA