On December 10, 2020, the United States Supreme Court issued an
opinion in
Rutledge v. Pharmaceutical Care Management
Association, Case No. 18-540, announcing for the first time
that ERISA does not preclude a state s ability to regulate the
relationships between independent pharmacies and pharmacy benefit
managers (PBMs). More specifically, the decision held that a state
could require PBMs to reimburse independent pharmacies at a fair
and reasonable rate that is not less than the rate for large retail
pharmacy chains affiliated with the PBMs.
The court overturned a decision by the U.S. Court of Appeals for
the Eighth Circuit that a 2015 law, known as Arkansas Act 900,