CMS Urges 5th Circ. To Crush Preferred Pharmacy Appeal

Law360, New York (May 7, 2012, 8:55 PM EDT) -- The Centers for Medicare and Medicaid Services on Friday argued that the Fifth Circuit should uphold a lower court’s dismissal of an independent pharmacy cooperative’s suit alleging the agency’s rule setting up preferred pharmacies is anti-competitive.

Southwest Pharmacy Solutions Inc., which does business as American Pharmacies, sued the agency in July, claiming the regulation allowing preferred pharmacy networks violates the so-called "any willing pharmacy" provision of the statute requiring Medicare prescription drug plans to allow all qualifying pharmacies to participate.

CMS contends in a brief to...
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