Federal court backs Hawaii 340B contract pharmacy law

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The U.S. District Court for the District of Hawaii denied AstraZeneca’s request to block a state law protecting 340B contract pharmacy arrangements.

In its ruling, issued Feb. 23, the court found that Hawaii’s Act 29 is not preempted by federal law, does not violate the Constitution’s spending clause and does not unlawfully discriminate against federal contractors. The court said AstraZeneca failed to demonstrate a likelihood of success on the merits.

The decision allows Hawaii to continue enforcing its 340B protections while litigation proceeds.

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