NCPA - National Center for Policy Analysis

Maryland's Drug Price Gouging Law: The Potential Consequences

June 12, 2017

NCPA Senior Fellow Thomas Hemphill writes at RealClear Health:

On May 26, Maryland became the first state to pass a law which applies specifically to "price gouging" practices by generic pharmaceutical manufacturers of essential drugs.  This law passed with overwhelming bipartisan support, 137-2-2 in the Maryland House of Delegates, and 38-7-2 in the Maryland Senate, had more than enough votes to override the Governor's veto.  Maryland Governor Larry Hogan (R), in a letter to the speaker of the Maryland House, explained that he withheld his signature because the bill vaguely defines what constitutes "price gouging" and may not withstand a legal challenge on constitutional grounds. 

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