Law.com Subscribers SAVE 30%

Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.

Drug & Device News

By ALM Staff | Law Journal Newsletters |
April 22, 2011

Fed. Court Says Medicare Must Cover Off-Label
Prescriptions

In Layzer v. Leavitt, 07 Civ. 11339 (HB), NYLJ 1202485563289, at *1 (SDNY, Decided March 7, 2011), the U.S. Court of Appeals for the Southern District of New York recently concluded that the Department of Health and Human Services must cover the costs of prescription medications prescribed “off label.” The case involved two patients, one prescribed Cetrotide to treat a rare form of ovarian cancer and the other prescribed Increlex to treat a rare and degenerative form of muscular dystrophy. Their Medicare Part D plan sponsors denied coverage for the drugs because they had not been approved by the Food and Drug Administration (FDA) for treatment of the two patients' conditions. On appeal, a Medicare Part D Independent Review Entity affirmed the denials, concluding that the plan sponsors were not required to provide coverage because the drugs were not being used for a medically accepted indication. The appeals authority explained that “a medically accepted indication means a use that is approved by the FDA or a use that is supported by one or more citations in ' drug compendia.” (The compendia are: 1) the American Hospital Formulary Service Drug Information; 2) the United States Pharmacopeia-Drug Information; and 3) the DRUGDEX Information System. 42 U.S.C. ' 1396r-8(g)(1)(B)(i).) When the plaintiffs sought final review of the Health and Human Services secretary's denial of reimbursement under 42 USC ' 405(g), the federal court reversed and ordered coverage. It found that the definition of a “covered part D drug” in the Social Security Act, 42 USC ' 1395 et seq., did not impose the so-called compendia requirement.

IV-Administered Nutrition Kills Several Hospital
Patients in AL

The Alabama Department of Public Health announced in March that nine patients in six hospitals had died as a result of being fed through contaminated bags of total parenteral nutrition (TPN), a liquid intravenous nutrition administered through an IV using a catheter. Ten others were also injured by bacterial infections brought on by use of the adulterated products. All of the contaminated products were traced to a single pharmacy, which, following notification of the outbreak voluntarily recalled all of its IV compounded products. The source of the bacteria has been traced to a water faucet in the pharmacy.

Monthly Liver Enzyme Testing No Longer Required for Letairis Users

The FDA has approved a modification to the boxed warning for Letairis that removes the recommendation that monthly liver enzyme tests be performed on users. Letairis tablets (ambrisentan) are used to treat high blood pressure in the vessels that carry blood to the lungs (pulmonary arterial hypertension, or PAH). The FDA authorized the change after reviewing data from clinical trials and postmarket reports that showed the risk of liver injury with use of Letairis is very low. For further information, see www.fda.gov/NewsEvents/Newsroom/PressAnnouncements/ucm245848.htm.

Fed. Court Says Medicare Must Cover Off-Label
Prescriptions

In Layzer v. Leavitt, 07 Civ. 11339 (HB), NYLJ 1202485563289, at *1 (SDNY, Decided March 7, 2011), the U.S. Court of Appeals for the Southern District of New York recently concluded that the Department of Health and Human Services must cover the costs of prescription medications prescribed “off label.” The case involved two patients, one prescribed Cetrotide to treat a rare form of ovarian cancer and the other prescribed Increlex to treat a rare and degenerative form of muscular dystrophy. Their Medicare Part D plan sponsors denied coverage for the drugs because they had not been approved by the Food and Drug Administration (FDA) for treatment of the two patients' conditions. On appeal, a Medicare Part D Independent Review Entity affirmed the denials, concluding that the plan sponsors were not required to provide coverage because the drugs were not being used for a medically accepted indication. The appeals authority explained that “a medically accepted indication means a use that is approved by the FDA or a use that is supported by one or more citations in ' drug compendia.” (The compendia are: 1) the American Hospital Formulary Service Drug Information; 2) the United States Pharmacopeia-Drug Information; and 3) the DRUGDEX Information System. 42 U.S.C. ' 1396r-8(g)(1)(B)(i).) When the plaintiffs sought final review of the Health and Human Services secretary's denial of reimbursement under 42 USC ' 405(g), the federal court reversed and ordered coverage. It found that the definition of a “covered part D drug” in the Social Security Act, 42 USC ' 1395 et seq., did not impose the so-called compendia requirement.

IV-Administered Nutrition Kills Several Hospital
Patients in AL

The Alabama Department of Public Health announced in March that nine patients in six hospitals had died as a result of being fed through contaminated bags of total parenteral nutrition (TPN), a liquid intravenous nutrition administered through an IV using a catheter. Ten others were also injured by bacterial infections brought on by use of the adulterated products. All of the contaminated products were traced to a single pharmacy, which, following notification of the outbreak voluntarily recalled all of its IV compounded products. The source of the bacteria has been traced to a water faucet in the pharmacy.

Monthly Liver Enzyme Testing No Longer Required for Letairis Users

The FDA has approved a modification to the boxed warning for Letairis that removes the recommendation that monthly liver enzyme tests be performed on users. Letairis tablets (ambrisentan) are used to treat high blood pressure in the vessels that carry blood to the lungs (pulmonary arterial hypertension, or PAH). The FDA authorized the change after reviewing data from clinical trials and postmarket reports that showed the risk of liver injury with use of Letairis is very low. For further information, see www.fda.gov/NewsEvents/Newsroom/PressAnnouncements/ucm245848.htm.

This premium content is locked for Entertainment Law & Finance subscribers only

  • Stay current on the latest information, rulings, regulations, and trends
  • Includes practical, must-have information on copyrights, royalties, AI, and more
  • Tap into expert guidance from top entertainment lawyers and experts

For enterprise-wide or corporate acess, please contact Customer Service at [email protected] or 877-256-2473

Read These Next
Strategy vs. Tactics: Two Sides of a Difficult Coin Image

With each successive large-scale cyber attack, it is slowly becoming clear that ransomware attacks are targeting the critical infrastructure of the most powerful country on the planet. Understanding the strategy, and tactics of our opponents, as well as the strategy and the tactics we implement as a response are vital to victory.

'Huguenot LLC v. Megalith Capital Group Fund I, L.P.': A Tutorial On Contract Liability for Real Estate Purchasers Image

In June 2024, the First Department decided Huguenot LLC v. Megalith Capital Group Fund I, L.P., which resolved a question of liability for a group of condominium apartment buyers and in so doing, touched on a wide range of issues about how contracts can obligate purchasers of real property.

The Article 8 Opt In Image

The Article 8 opt-in election adds an additional layer of complexity to the already labyrinthine rules governing perfection of security interests under the UCC. A lender that is unaware of the nuances created by the opt in (may find its security interest vulnerable to being primed by another party that has taken steps to perfect in a superior manner under the circumstances.

Fresh Filings Image

Notable recent court filings in entertainment law.

CoStar Wins Injunction for Breach-of-Contract Damages In CRE Database Access Lawsuit Image

Latham & Watkins helped the largest U.S. commercial real estate research company prevail in a breach-of-contract dispute in District of Columbia federal court.