This week, the U.S. District Court for the Western District of Oklahoma in PCMA v. Mulready put another win in the independent pharmacy and patient column on the question of ERISA preemption. The court found that ERISA preempted none of the challenged provisions of Oklahoma’s Patient’s Right to Pharmacy Choice Act, thus reinforcing the state’s broad authority when it comes to regulating PBM practices in Oklahoma. The court also followed a similar line of reasoning as we saw in PCMA v. Wehbi on questions of Part D preemption. The court found that several provisions within the statute were not preempted by Medicare Part, therefore, Oklahoma has the authority to regulate in these areas as well.
“With this decision the Western District of Oklahoma is affirming how states can use Rutledge v. PCMA to appropriately regulate health care’s mega-middlemen and protect citizens from harmful PBM business practices,” said NCPA CEO Douglas Hoey. “We applaud Oklahoma for pursuing PBM reforms through legislation. These fights may continue, but policymakers considering similar PBM restrictions can take comfort in the fact that courts are recognizing states’ obligation to protect patients and local businesses and upholding their efforts to do just that.”
PCMA will have an opportunity to file a motion for reconsideration in the Western District of Oklahoma or appeal the matter to the 10th Circuit Court of Appeals.
