DC judge dismisses Merck's challenge to Medicare drug price negotiations

A Washington D.C. federal judge rejected Merck's lawsuit contesting Medicare drug price negotiations under the Inflation Reduction Act. Judge Colleen Kollar-Kotelly of the U.S. District Court for the District of Columbia issued the decision after a lengthy review.

The case, filed more than three years ago, sought to block the government’s authority to negotiate prices for certain Merck medicines. The judge’s ruling leaves the challenge without merit and upholds the administration’s pricing program.

The decision is a setback for Merck, which had hoped to limit the impact of negotiated pricing on its revenue. It also signals that similar challenges by other drug makers may face steep judicial hurdles.