Cigna’s Express Scripts Files Lawsuit Against FTC Over Allegedly Biased PBM Report

Lawsuit Filed:
Express Scripts, a subsidiary of The Cigna Group, has filed a lawsuit against the Federal Trade Commission (FTC) in federal court in Missouri, demanding the retraction of a July 2024 report on the pharmacy benefit management (PBM) industry.

Allegations:
Express Scripts claims the FTC report is "unfair, biased, and erroneous," making unsubstantiated and false claims about the PBM industry. The company argues that the report ignores evidence provided by PBMs and promotes a false narrative that could harm the healthcare system by removing essential checks and balances, leading to higher drug prices for American consumers.

FTC Report Findings:
The FTC's report alleged that the largest PBMs, including Express Scripts, use their dominance to inflate drug prices and limit access to cheaper alternatives like generics and biosimilars. It also found that the top six PBMs process more than 90% of US prescriptions, with pharmacies affiliated with the three largest PBMs accounting for nearly 70% of all specialty drug revenue.

Express Scripts' Defense:
Express Scripts argues that PBMs help reduce drug costs by negotiating lower prices with manufacturers. The company claims it achieved approximately $38 billion in savings for clients last year and emphasizes that drug manufacturers, not PBMs, set drug prices.

Legal Action:
The lawsuit seeks a judgment declaring the FTC’s report to be defamatory and unlawful, demanding its removal from all commission websites and the recusal of FTC Chair Lina Khan from any actions related to Express Scripts due to alleged anti-PBM bias.