The latest skirmish over prescription drug pricing is unfolding in a Canadian court where a government agency and a U.S. drug maker are battling over the cost of an expensive medicine that is used to treat a pair of rare diseases. Last month, Alexion Pharmaceuticals filed a lawsuit to stop the Patented Medicine Prices Review Board, a Canadian government agency, from imposing a price cap on Soliris. The move came after the board last January asked Alexion to lower its price and repay sales generated by the drugs from 2012 through the first half of 2014.
The battle is being closely watched for its wider implications. Beyond disputing specific allegations made by the board, Alexion is taking the unprecedented step of challenging the agency’s power to impose pricing caps. And health policy experts say this development raises questions about the extent to which other drug makers may follow suit.
