Express Scripts Sues FTC, Demands Retraction of Drug-Cost Report

Cigna Group’s pharmacy benefit manager, Express Scripts, has filed a lawsuit against the US Federal Trade Commission (FTC), challenging the agency’s July report, which accused pharmacy benefit managers (PBMs) of contributing to higher drug prices.

Express Scripts claims the report is biased and defamatory, asking a federal judge in St. Louis to order its retraction.

The FTC’s 74-page report criticized PBMs, including Express Scripts, for inflating drug costs and disadvantaging independent pharmacies. According to the lawsuit, Express Scripts alleges that the FTC relied on unverified comments and ignored extensive data provided by PBMs. The company argues that the report has harmed its business and reputation, leading to multiple lawsuits and investigations based on its findings.

Express Scripts accuses the FTC of ideological bias, specifically targeting Chair Lina Khan, and argues that the report’s conclusions are misleading. The lawsuit calls for Khan’s recusal from future actions involving Express Scripts and PBMs.

In response, the FTC stated it stands by its report, noting that the prescription drug market is dominated by three major PBMs, including Express Scripts, which control nearly 80% of the market. The agency emphasized its commitment to clarifying how this market impacts drug pricing and competition.

With input from Axios, CNBC, Market Watch, and the Hill.