Golden State Today

California Attorney General Rob Bonta led 21 attorneys general in filing an amicus brief in the case of Pharmaceutical Research and Manufacturers of America v. Stolfi, supporting laws that enhance drug price transparency. The brief, submitted to the Ninth Circuit Court of Appeals, backs Oregon's House Bill 4005, which mandates pharmaceutical manufacturers to report specific information about new prescription drugs and historical pricing data for existing drugs. This legislation is akin to California's Senate Bill 17 enacted in 2017.

"As prescription drug prices continue to escalate across our country, the need for state-level action to protect residents from predatory pricing practices has never been more urgent," said Attorney General Bonta. "That’s why today I’m leading a multi-state coalition of attorneys general nationwide to support Oregon’s drug price transparency law. High prescription drug prices threaten peoples’ access to care and can result in worsening medical conditions, declining health outcomes, and even death. Together, we can create a healthcare system that prioritizes the well-being of our people over the profits of pharmaceutical companies."

Oregon’s House Bill 4005 was passed in 2018 with the aim of increasing transparency in drug pricing, holding pharmaceutical companies accountable for price hikes, and controlling rising prescription drug costs for Oregon residents. The Pharmaceutical Research and Manufacturers Association (PhRMA), representing major U.S. drug manufacturers, challenged the constitutionality of House Bill 4005 in federal district court in Oregon. While the district court partially ruled in favor of PhRMA, Oregon appealed to the Ninth Circuit.

California's Senate Bill 17 similarly requires manufacturers to report specified information when there is an increase in a drug’s list price. Data obtained under SB 17 allows the California Department of Managed Health Care to evaluate how prescription drug costs impact health plan premiums. Both California state agencies and the Department of Justice have used this law for enforcement purposes.

According to a 2019 Gallup-West Health National Healthcare Study, over 13 percent of American adults—approximately 34 million people—reported knowing at least one friend or family member who died within five years due to unaffordable medical treatment. The coalition argues that state laws like Oregon’s serve crucial state interests as recent dramatic increases in drug pricing harm states and their residents.

The amicus brief also underscores various measures adopted by bipartisan states promoting drug price transparency and highlights laws collecting data essential for understanding drug spending and guiding policy solutions for high drug costs.

Attorney General Bonta was joined by attorneys general from Arizona, Colorado, Connecticut, Delaware, Hawaii, Illinois, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New Mexico, New York, North Carolina, Pennsylvania Vermont Washington District Columbia

A copy of the amicus brief can be found here.