Big Pharma Fights Price Fixing Charge

Have you ever noticed that you pay about the same amount for your prescriptions as you always have or even worse the prices go up? Plenty of patients have been aghast at the price they must pay to receive some of the most basic of medical treatments. Generic medications were thought to drive down prices, and some have, but it’s hard to compete with large companies who can control the market for online prescription medication.

But why haven’t the prices for prescription medications gone down? Online doctors are able to offer prescription online services for their patients, and while this saves patients money compared to a traditional doctor, you can also see the how medication cost for both online doctors and traditional doctors have not changed.

Three months ago the California Supreme Court reinstated a multi-million dollar price-fixing lawsuit against 20 of the largest drug companies. The lawsuit claims the drug companies violated the state antitrust laws by conspiring to set artificially high prices for their brand named medications. Some that were, allegedly, 50-400% higher than for the same drugs sold overseas. Now, if that is not hurting patients and online doctors, then nothing is. The lawsuit also accuses the companies of trying to prevent their lower-priced medications, which are sold in other countries, from being re-imported back to the US.

Price fixing hurts all of those on the end result, while maintaining artificially high profits for the companies. The costs are then put off onto the online doctor offices and online prescription services that must increase their price to make up for the exorbitant cost of their pharmaceuticals.
The pharmacy companies, who do not admit to price fixing, are arguing that the pharmacies shouldn’t be allowed to sue because the alleged overcharging was passed to consumer or to their insurance companies. At first the trial judge agreed and dismissed the case and a state appeals court upheld the ruling. But California’s high court claimed the pharmaceutical companies are not protected by the "pass-on defense."

Online doctors would be hit hard by any price fixing by the large pharmaceutical companies and online prescription services would feel the pinch as well. There is talk that the pharmacies would seek an injunction against the pharmaceutical companies but they have not expressed an opinion one way or the other yet. The pharmacies are seeking financial restitution from the large drug companies.

This issue affects everyone involved, if large companies are allowed to set high price points for the products, passing the cost on to online doctors then the price of prescription online will rise. This isn’t about what’s in the doctor’s pockets; it’s about how the patient is treated. And if the patient has to bear the brunt of the financial burden of online prescription cost then the system is broken. Hopefully, this case will shed some light on the issue and allow patients to get the medications they need.

It’s important to not lose sight of this issue, remember, it affects both patients and the online prescription services they depend on.

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