Forthcoming in UC Irvine Law Review, Volume 6, Issue 3, Spring 2017
This article is divided into two parts. The first addresses competition policy and why it is appropriate to develop the doctrine of excessive pricing to address distortions in the pharmaceutical sector. The second addresses the technical aspect of how courts or administrative authorities may determine when prices are excessive, and potential remedies.
The policy prescription of this article is twofold: first, the United States should incorporate excessive pricing doctrine in its antitrust arsenal, and; second, other countries should maintain the status quo with respect to multilateral competition rules that allow them flexibility to develop and refine doctrine, including excessive pricing doctrine, that is best suited to their circumstances and interests.
Submitted to Senate Finance Committee on March 3, 2016 in response to request feedback regarding the report on “The Price of Sovaldi and its impact on the U.S. Health Care System” of December 1, 2015 (Senate Print 114-20). Transmittal letter accompanies abstract and download.