Alerts6.17.22

U.S. Supreme Court Unanimously Rules in Favor of Hospitals in 340B Decision

supreme

Highlights

The U.S. Supreme Court ruled that reimbursement reductions applied to 340B hospitals in 2018 and 2019 were not permissible under the governing statue

This ruling is an important victory for hospitals as 340B covered entities stand to recover up to $1.6 billion 

340B covered entities should begin calculating lost reimbursement and take action to reserve their right to appeal


On June 15, 2022, the U.S. Supreme Court unanimously ruled to overturn a 2020 decision out of the U.S. Court of Appeals for the District of Columbia Circuit sustaining the authority of the Department of Health and Human Services (HHS) to reduce payments to certain covered entities that participate in the 340B drug pricing program.

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