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Rutledge Applauds U.S. Supreme Court Decision to Hear Arkansas’s Case against PBMs

LITTLE ROCK – Arkansas Attorney General Leslie Rutledge appreciates the United States Supreme Court’s decision to hear Arkansas’s case to uphold the rule of law and protect Arkansas small businesses in our rural areas and to save community pharmacies from abusive pharmacy benefit manager (PBM) payment practices.

“Today is a victory for Arkansas and especially our rural pharmacies,” said Attorney General Rutledge. “Pharmacy benefit managers need to be held accountable for the alarming number of small town pharmacies they have closed due to unfair business practices.”

PBMs are middleman companies that pay pharmacists for prescription drugs dispensed to insurance beneficiaries. The General Assembly passed Act 900 in 2015 to require Arkansas pharmacies be reimbursed by PBMs at fair rates. The law was necessary because more than 16% of rural pharmacies had closed in recent years due to declining PBM payments on generic prescriptions causing Arkansans to be unable to receive necessary medications.

The case is Rutledge v. Pharmaceutical Care Management Association, No.18-540.

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