EB Flash: Supreme Court Rules ERISA Does Not Preempt Arkansas PBM Law

Employee Benefits Alert
12.10.2020

The Supreme Court today ruled that the Employee Retirement Income Security Act (ERISA) does not preempt an Arkansas law requiring that pharmacy benefit managers (PBMs) reimburse pharmacies in the state at a price equal to or higher than the pharmacy's wholesale cost. Justice Sonya Sotomayor authored the decision for the Court, with Justice Clarence Thomas concurring.

The case is Rutledge v. Pharmaceutical Care Management Association. The decision is posted here.


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