SCOTUS ruling: Huge win for indy pharmacies

Published December 10, 2020

This is a major announcement from the U.S. Supreme Court — it ruled 8-0 (!) in favor of the state of Arkansas — and against PBMs — in Rutledge v. Pharmaceutical Care Mgmt Assoc. You can read the full ruling (PDF) here.

Out of the loupe? SCOTUS has said, essentially, that yes, states can regulate PBMs. The PBMs had argued (so far successfully) that the federal ERISA law preempted state regulations. Any state regs, they said, were automatically tied to ERISA and thus pre-empted by it.

‘Nuh-uh,’ said the Supremes: “The Court holds that the Act [the Arkansas law] has neither an impermissible connection with nor reference to ERISA and is therefore not pre-empted.”