Bans Payments to Delay Cheaper Drugs

Protecting Consumer Access to Generic Drugs Act of 2026

AI draftFederal · House · HR10887-119

Would ban brand-name drugmakers from paying generic or biosimilar makers to delay cheaper drugs. The Federal Trade Commission would enforce it, with penalties up to three times the deal's value.

Supporters say

Consumer and patient groups would likely say delay payments keep cheaper drugs off the market. Stronger penalties would discourage companies from making these deals.

Critics say

Some drugmakers would likely say the ban could limit settlements that resolve patent fights. They may argue it could slow the resolution of legal disputes.

Why it matters

Patients could get cheaper generic and biosimilar drugs sooner if companies cannot pay to delay them. Companies that break the ban could face penalties of up to three times the value involved.

What it does

  • Bans brand-name drugmakers from paying generic makers to delay selling cheaper copies
  • Applies the same ban to biologic drugmakers and biosimilar makers
  • Allows payments for litigation costs up to $7.5 million in a settlement
  • Lets the Federal Trade Commission enforce the ban with civil penalties
  • Sets penalties of up to three times the value of the illegal deal

Status

Latest action (2026-10-22): Referred to the Committee on Energy and Commerce, and in addition to the Committee on the Judiciary, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Sponsors

Sponsor details for this federal bill are available at the source link above.

News

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