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AG Nessel Joins Effort in Support of Drug Pricing Transparency

LANSING – Michigan Attorney General Dana Nessel has joined 20 attorneys general in filing an amicus brief in Pharmaceutical Res. & Manufacturers of Am. v. Stolfi in support of laws that increase drug price transparency. The amicus brief filed in the Ninth Circuit Court of Appeals supports Oregon's defense of House Bill 4005, a law that requires pharmaceutical manufacturers to report certain information about specific new prescription drugs and historical information about pricing for existing drugs.  

“Drug pricing transparency is crucial to ensuring patients can afford the prescription drugs they depend on,” said Nessel. “I stand firmly with my colleagues in defending these important laws and protecting our residents from unjustified drug price hikes.” 

Oregon’s House Bill 4005, passed in 2018, aims to increase transparency in drug pricing, hold pharmaceutical companies accountable for price hikes, and help control the rising cost of prescription drugs for Oregon residents. The Pharmaceutical Research and Manufacturers Association (PhRMA), a trade association representing some of the largest drug manufacturers in the United States, filed a lawsuit in federal district court in Oregon, challenging the constitutionality of House Bill 4005. The district court ruled, in part, in favor of PhRMA, and Oregon appealed to the Ninth Circuit. 

According to a 2019 Gallup-West Health National Healthcare Study, more than 13 percent of American adults — or about 34 million people — reported knowing of at least one friend or family member in the past five years who died after not receiving needed medical treatment because they were unable to pay for it. In the amicus brief, the coalition argues that state laws like Oregon’s serve important state interests, as recent dramatic increases in drug pricing impose harm on states and their residents. The amicus brief also highlights the various measures that a bipartisan group of states has adopted to hold pharmaceutical manufacturers accountable, including laws promoting drug price transparency. Further, the brief emphasizes the importance of laws that collect data to provide a greater understanding of drug spending and help guide policy solutions to address high drug costs. 

In presenting this brief, Nessel has joined California Attorney General Rob Bonta and the attorneys general of Arizona, Colorado, Connecticut, Delaware, the District of Columbia, Hawaii, Illinois, Maine, Maryland, Massachusetts, Minnesota, Nevada, New Jersey, New Mexico, New York, North Carolina, Pennsylvania, Vermont, and Washington. 

A copy of the amicus brief can be found here (PDF)

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