CVS Caremark prevails in Second Circuit appeal of summary judgment dismissing hundreds of Robinson-Patman Act claims

Client(s) CVS Caremark Corporation

The Second Circuit affirmed summary judgment dismissing all claims by pharmacies against Jones Day client CVS Caremark Corporation and one other defendant, following the settlement by the other five defendants remaining in the case. The pharmacies asserted that certain pharmaceutical manufacturers had engaged in price discrimination against the plaintiffs of certain brand name drugs and that CVS Caremark, as well as other unnamed pharmacy benefit managers, had induced or received favored purchaser pricing. After obtaining discovery of hundreds of thousands of transactions from the purported favored purchasers, plaintiffs were unable to produce evidence of material discrimination with respect to any drug. Accordingly, the Eastern District of New York held that the plaintiffs had failed to show harm to competition or antitrust injury, both of which were required elements of plaintiffs' claims. The Second Circuit affirmed.

Drug Mart Pharmacy Corp. v. American Home Products, No. 93-5148 (E.D.N.Y.); No. 12-4689 (2d Cir.)