First Circuit Allows Halt of New HHS Drug Rebate Pilot Program

Jan. 8, 2026, 3:21 PM UTC

A federal appeals court refused to lift a freeze of the Trump administration’s drug rebate pilot program that was set to take effect Jan. 1.

The US Court of Appeals for the First Circuit on Wednesday denied the Department of Health and Human Services’ request to stay an order pending appeal that paused the government’s 340B Rebate Model Pilot Program from going into effect at the beginning of the year.

A lower court last month ruled the government didn’t have the evidence in the administrative record to prove that it considered the costs and burden of the rebate program. That ...

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