Arkansas PBM Law Prompts CVS, Express Scripts Lawsuits Over Pharmacy Ownership Ban

Arkansas has enacted a law banning pharmacy benefit managers (PBMs) from owning and operating pharmacies starting in 2026, aiming to curb the influence of major PBMs like CVS Caremark, Express Scripts, and Optum Rx. These PBMs have challenged the law, arguing it will lead to pharmacy closures, job losses, and higher costs, with CVS Health warning of negative impacts on access to specialized care for patients. Meanwhile, CVS Health is facing legal challenges in New York federal court, where a judge denied its attempt to avoid liability for false claims submitted by its subsidiary Omnicare. Additionally, the North Carolina State Health Plan, covering 750,000 state employees and families, is considering legal action against CVS Caremark amid disputes over tens of millions of dollars and contract renegotiations, with state officials accusing CVS of withholding savings and attempting to alter contract terms. CVS Caremark maintains it is complying with contracts and providing savings to beneficiaries. These developments highlight ongoing tensions and legal battles involving CVS Caremark and its role as a PBM across multiple states.