Close Brand-Name Loopholes

Millions of Americans rely every day on prescription drugs to maintain their health. AARP believes it’s unfair that we pay the highest prices in the world and that many older adults have to choose between filling their prescriptions and buying food. AARP says the president, Congress and state governments must Stop Rx Greed and Cut Drug Prices Now.

Improve access to generic drugs

Brand-name drug companies are limiting the availability of lower-priced versions of their medications by entering into so-called “pay for delay” agreements in which they pay generic drug companies not to produce a competing product. This loophole lets brand-name drug companies continue profiting for years by preventing lower-cost generics from reaching consumers. It’s time to crack down on drug company price gouging and stop these pay-for-delay agreements that keep prices artificially high and limit consumer choice and competition.

The bipartisan Creating and Restoring Equal Access to Equivalent Samples (CREATES) Act would prevent drug manufacturers from blocking the development of lower-cost generics. The legislation would require brand-name drugmakers to provide the information and samples other companies need in order to develop a generic or other low-cost version of the drug.

AARP urges Congress to pass the CREATES Act and other legislation that would ban pay-for-delay deals.