Court upholds HHS control over 340B rebate models

The U.S. Court of Appeals for the District of Columbia Circuit upheld the Department of Health and Human Services' (HHS) authority to approve 340B rebate models, a decision that prevents major pharmaceutical companies like Novartis and Johnson & Johnson from implementing their own versions without HHS's consent. This ruling solidifies HHS's role in regulating drug pricing for certain hospitals, which is crucial as the 340B program aims to keep drug costs low for safety-net hospitals. The decision has significant implications for healthcare access and affordability, ensuring that the program's goals are met without industry interference.