Will the unintended consequences of drug price transparency regulation outweigh its benefits?

An Expert View from Jennifer Romanski, a principal of Porzio, Bromberg & Newman and a co-chair of its Life Sciences Compliance and Regulatory Counseling Department. She is also a senior vice president at Porzio Life Sciences, a wholly-owned subsidiary of the law firm.

Drug price transparency regulation (DPTR) continues to proliferate across the USA as politicians in statehouses from coast to coast cannot resist the win-win-win such legislation provides them: bipartisan agreement on a voter-friendly issue that can also bring money into their states’ coffers (in recent years, Nevada and California have each fined non-compliant manufacturers more than $17 million for reporting violations.

In the absence of federal price transparency legislation, which does not appear to be coming soon, pharmaceutical companies will need to navigate the labyrinth of state DPTR laws in the states where they do business. With close to 20 states having DPTR laws on the books, and with dozens of DPTR bills in several other states having been proposed, pharmaceutical companies’ legal and compliance teams will be busy with that navigation for the foreseeable future.