AHA Statement on Court Delay of Most Favored Nation Model Interim Final Rule

Tom Nickels
Executive Vice President
American Hospital Association

December 23, 2020
 

The AHA is pleased that Judge Blake has granted a temporary restraining order to prevent the Most Favored Nation (MFN) Model interim final rule from taking effect on January 1. Hospitals and health systems have very deep concerns about the substance and legality of this model, and the AHA filed a Declaration with this lawsuit expressing how the model could negatively impact hospitals, health systems and the patients they care for. Instead of holding drug companies accountable and lowering drug prices, this model simply slashes payments to hospitals for the drugs they must purchase to treat their patients. These cuts will ultimately lead to less access to care for patients and communities. The AHA again urges the court to reject this model as illegal and for the Administration to replace it with a real effort at drug pricing reform.
 

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Contact:       Colin Milligan, (202) 638-5491
                     Marie Johnson, (202) 626-2351