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Orphan Drugs: Ending Exclusivity When Profits Are High

This act changes the rules for granting exclusivity for drugs for rare diseases, known as orphan drugs. It aims to prevent companies from obtaining exclusivity even when development and availability costs can be recovered from sales. The goal is to increase drug accessibility and potentially lower prices for patients.
Key points
Pharmaceutical companies must prove they do not expect to recover orphan drug costs from sales to obtain or maintain exclusivity.
Orphan drug exclusivity can be revoked if it's found that the company could have recovered costs from sales within 12 years of market entry.
Changes apply to drugs approved both before and after this act's enactment, potentially affecting existing orphan drugs.
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Additional Information
Print number: 117_S_250
Sponsor: Sen. Cassidy, Bill [R-LA]
Process start date: 2021-02-04