Blues Plans Sue CVS, Alleging It Overcharged for Generic Drugs

In a move that one attorney says may have a domino effect, Blue Cross Blue Shield plans recently filed suit against CVS Health Corp., claiming that the firm fraudulently overcharged them for generic drugs by “submitting claims for payment at artificially inflated prices.” CVS strongly denies the allegations.

The lawsuit, filed May 27 by Blues plans in Alabama, Florida, Minnesota, North Carolina, North Dakota and Kansas City, Mo., joins several others lodged against CVS and separately, against Walgreen Co., that allege the pharmacy chains failed to count prices in their generic cash discount programs when calculating “usual and customary” (U&C) prices for plan reimbursement.

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