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CVS Sues Tennessee Over Pharmacy Law
Description
CVS sues Tennessee over new law targeting pharmacy benefit managers, claiming its unconstitutional and unfairly favors in-state businesses. The FAIR Rx Act aims to stop preferential treatment for PBM-affiliated pharmacies, following a state audit revealing CVS Caremark overcharged by over $615 million. Supporters argue it ends conflicts of interest, while CVS pushes back, stating it restricts access to medications and hurts fair competition. Financial implications remain a point of contention, with estimates ranging from $53 million to $29 million annually for Medicaid programs.
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