AdvancePCS Can't Arbitrate Antitrust Dispute, 3rd Circ. Rules

Law360, Philadelphia (November 15, 2012, 4:41 PM EST) -- In a blow to AdvancePCS, the Third Circuit ruled Thursday that the pharmacy benefit manager had waived its right to arbitrate a dispute with drugstores by spending 10 months litigating a putative class action accusing the company of artificially depressing reimbursement rates.

Drugstores accusing AdvancePCS, which is now known as CaremarksPCS, of using its market power to deflate their payments for prescription drugs had asked the Third Circuit to overturn a Pennsylvania federal court’s ruling compelling arbitration in the case, claiming both that the arbitration clause...
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