Independent pharmacies have filed a sweeping antitrust lawsuit against Prime Therapeutics, alleging that the pharmacy benefit manager (PBM) engaged in a price‑fixing scheme with Express Scripts to depress reimbursement rates and inflate fees for thousands of pharmacies nationwide.
The suit, brought by a group representing nearly 5,000 community pharmacies, asserts that Prime effectively "rented" Express Scripts’ market power to lock in lower reimbursements and higher transaction fees, eliminating normal competition among PBMs for pharmacy network participation.
The complaint accuses Prime of conspiring with a direct competitor, Express Scripts, in a horizontal agreement that fixes the prices paid to pharmacies for filling prescriptions, in violation of federal antitrust laws and contractual obligations.
This latest suit builds on earlier antitrust rulings and enforcement actions, including an arbitration decision finding Prime liable for horizontal price‑fixing with Express Scripts and awarding more than $10 million in damages to the AIDS Healthcare Foundation and affected pharmacies.
Lawmakers and state attorneys general have pointed to similar arrangements as a major driver of independent pharmacy closures and reduced patient access, calling for stronger oversight and legal remedies against the PBM‑driven pricing structure.
Sources:
TRUST LLC sues Prime Therapeutics over price-fixing scheme
AIDS organization wins $10M antitrust ruling against Prime Therapeutics
Arbitration Ruling Validates AHF Antitrust Theory Against PBM ...
Independent pharmacies sue Express Scripts, allege price-fixing
5,000 Pharmacies Accuse Prime Therapeutics Of Price-Fixing - Law360 Insurance Authority
Michigan v. Express Scripts, Inc. et al.
Prime Therapeutics faces US price-fixing claims from ...
Michigan Attorney General Sues Two Pharmacy Benefits Managers ...
Prime Therapeutics Accused of Deflating Pharmacy Pay Rates (1)
Michigan sues Express Scripts, Prime for price-fixing
Michigan Pharmacy Benefit Manager Antitrust Case May Deliver Big ...
Prime Therapeutics Fails to Silence AHF in PBM Price-Fixing Arbitration