Merck sues law that allows Medicare to negotiate with drug makers

Pharmaceutical company Merck sued the government Tuesday over a federal law that allows Medicare to negotiate prices directly with drug makers for the first time. The Merck lawsuit, filed in federal court in Washington, is the drug industry’s most significant move yet to thwart a major health care policy change, which takes effect in 2026. Democrats pushed through the Medicare negotiating program last summer as a provision of the Inflation Reduction Act, framing it as a way to lower drug prices. Only certain drugs will be subject to negotiation with…

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