The Biden administration on Thursday asserted its authority to seize the patents of certain costly medications in a new push to slash high drug prices and promote more pharmaceutical competition.
The administration unveiled a framework outlining the factors federal agencies should consider in deciding whether to use a controversial policy, known as march-in rights, to break the patents of drugs that were developed with federal funds but are not widely accessible to the public. For the first time, officials can now factor in a medication’s price — a change that could have big implications for drugmakers depending on how the government uses the powers.
“When drug companies won’t sell taxpayer-funded drugs at reasonable prices, we will be prepared to allow other companies to provide those drugs for less,” White House National Economic Advisor Lael Brainard said during a call with reporters Wednesday.
I’m extremely torn about this. First of all, I’ve been saying for a long time, that the biggest problem with the American health system is the costs of everything, and not the lack of insurance. Bring the costs down, and insurance is either not needed, or should be able to be procured much more cheaply, so this move will help with that, which is a good thing.
Second, patents are in place for a reason. If you invent something, you have the right to sell it, at least for a period of time, without it being ripped off by someone else. Patents are used all the time, all around the world, and are typically protected. This is a form of theft, and I think a possible slippery slope, as it sets a precedent going forward. And yes, I’m aware that they are doing this with drugs funded by the taxpayers. If they want to do this, it should be a stipulation when the company gets the government funding, and not done after the fact.
Doing research that is significantly funded by the government, but then you get to keep sole control of it and abuse that position to harm subjects of the government that made ‘your’ patent even exist is a problem. I’m absolutely ok with the government threatening to take that control back. If you don’t want that threat, then entirely fund it yourself. If you don’t want the government to actually execute the threat than charge reasonable prices. You still get your control and your profits, you just can’t be a dick about it.
There’s no slippery slope at all here.
*Funded by the citizens, is a clearer way to make that point. If the citizens subsidized any significant portion of that drug’s development, the company behind it should get “royalties” for the subsidized portion, and the drug should go on a government-controlled-price list. Don’t like it? No treasury shovel-outs for you.