Biotechnology Industry Organization v. District of Columbia
- Case Date: 12/29/2006
- Project Name: Criminalization of Free Enterprise - Business Civil Liberties Program
On August 1, 2007, the U.S. Court of Appeals for the Federal Circuit struck down a D.C. law that imposed strict price controls on prescription drugs still covered by a patent,a decision that will likely protect critical pharmaceutical research and development. The decision was a victory for WLF,which filed a brief urging that the law be struck down. The court agreed with WLF that the law is preempted by federal patent laws because it interferes with the objective Congress sought to achieve in adopting the patent laws; namely, to encourage innovation by rewarding those who expend the resources necessary to develop new products. The court held that the law stands as an obstacle to Congress's objectives because, by depressing prices, it prevents drug patent holders from reaping the rewards Congress intended to bestow. WLF also argued that price controls lead to decreased spending on pharmaceutical research and development, with the inevitable result that fewer drugs will be developed.
More Information and Downloads:
12/29/2006: Download the Brief
Litigation Update: Appeals Court Strikes Down D.C. Drug Price Control Law
Press Release: Court Urged to Strike Down D.C. Drug Price Control Law