September 24, 2020

New York Opioid Stewardship Act Still Stands

The New York Opioid Stewardship Act, signed by Governor Andrew Cuomo, instituted a tax on opioid manufacturers to cover the costs of the opioid epidemic. Two trade groups, Healthcare Distribution Alliance and the Association for Accessible Medicines, and drugmaker Mallinckrodt Plc challenged the law. On September 14, the United States Court of Appeals for the Second Circuit ruled that the trial court judge lacked authority to strike down the requirement that the companies collectively pay $100 million annually because it was tax rather than a regulatory fee or a punitive fine.