S3203

The New York State Senate passed legislation targeting anticompetitive pharmaceutical practices that keep generic drugs off the market and inflate prescription costs. Senate Print 3203, sponsored by Sen. Fernandez, passed on a 39-17 roll call vote. The bill treats pay-for-play agreements—where brand-name drug manufacturers provide incentives to delay generic competition—as unlawful and strengthens enforcement mechanisms. Sen. Fernandez argued the measure is necessary because prescription drugs remain unaffordable for many New Yorkers due to corporate deals designed to block competition rather than lack of innovation. She contended these agreements harm patients and the healthcare system while protecting profits, leaving families, seniors and taxpayers to bear the burden of inflated costs. The bill takes effect 60 days after becoming law. Seventeen senators voted against the measure, including Ashby, Borrello, Canzoneri-Fitzpatrick, Chan, Helming, Mattera, Murray, Oberacker, O'Mara, Ortt, Palumbo, Rhoads, Rolison, Stec, Tedisco, Walczyk and Weber.

The New York State Senate passed legislation Tuesday that would presume pay-for-delay settlements between brand-name and generic drug manufacturers are anticompetitive unless proven otherwise. Senate Print 3203, sponsored by Sen. Fernandez, passed on a 41-20 roll call vote. The bill amends Public Health Law to shift the legal burden in cases where brand-name companies pay generics to delay market entry. Currently, such agreements are presumed neutral under law. Fernandez argued the change is necessary because these settlements cost consumers billions of dollars and can delay generic drug access for months or years. "If there's any money exchanged and delay agreed to, the law will now presume that that agreement is anticompetitive," Fernandez said, adding the bill "protects fair" settlements while targeting anticompetitive ones. The legislation takes effect 60 days after becoming law. Twenty senators voted against the measure, including Ashby, Borrello, Canzoneri-Fitzpatrick, Chan, Gallivan, Griffo, Helming, Mattera, Murray, Oberacker, O'Mara, Ortt, Palumbo, Rhoads, Rolison, Stec, Tedisco, Walczyk, Weber and Weik.