The pharmaceutical industry's main trade group filed a federal lawsuit on Oct. 7 to block a new Medicare payment model that ties rebates on certain Part B drugs to prices paid in 19 other countries. The Pharmaceutical Research and Manufacturers of America (PhRMA) is asking the U.S. District Court for the District of Columbia to declare the rule unlawful and set it aside, according to its complaint against HHS Secretary Kennedy.
The Global Benchmark for Efficient Drug Pricing (GLOBE) Model would require some drugmakers to pay rebates when their prices exceed those in comparable countries. It is set to begin Jan. 1, 2027.
