Hospitals and industry groups sue the Trump administration again to stop a second version of a federal 340B drug program pilot led by the Department of Health and Human Services (HHS). The effort challenges changes that would shift safety-net hospitals away from upfront discounted purchases toward after-the-fact rebates.
According to reports, the American Hospital Association (AHA) is again bringing the case after earlier legal action, arguing that the proposed structure could alter how discounted drugs are accessed and accounted for by covered providers. The plaintiffs describe the program as a “rematch,” reflecting that the government’s plan is a revised iteration of prior proposals.
Across outlets, the core dispute remains consistent: hospitals contend the rebate pilot would change a long-standing pricing mechanism under the 340B program, while the administration maintains the pilot is intended to revise how discounts and rebates work in practice. The lawsuits focus on halting implementation of the pilot while the legal challenge proceeds.