A Fight for Affordable Medicine: Nonprofit Takes on Big Pharma
California, USATue Jan 20 2026
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In Nevada, a nonprofit called Sagebrush Health Services is in a legal battle with a huge drug company, Amgen. The issue? Amgen stopped giving discounts on medicines to Sagebrush's clinics. This left Sagebrush struggling to get the drugs they need for their patients.
Sagebrush serves over 10, 000 people in Nevada. Many of these people are uninsured or can't afford expensive medicines. The nonprofit relies on a program called the 340B Drug Pricing Program. This program lets them buy drugs at a lower price. But Amgen decided Sagebrush wasn't eligible for this program. They stopped giving discounts and even took back millions of dollars in past discounts.
Sagebrush says Amgen didn't follow the right process. They went to court in California, where Amgen is based. They want Amgen to give back the money they took and to pay more in damages. Sagebrush's CEO, Guru Charan, says they tried to avoid this lawsuit. But they had to stand up for their patients and the services they provide.
The 340B Program is important for Sagebrush. It helps them provide care to people who can't afford it. They use the savings to offer free services, like STI testing and prevention programs. These services are crucial, especially with rising STI cases in the U. S.
Amgen is a massive company, worth billions. They say they followed the rules. But Sagebrush argues that Amgen overstepped. They ignored the federal process for checking eligibility. Instead, they made their own decision and took action.
Sagebrush isn't just fighting for themselves. They're also standing up for other healthcare providers who rely on the 340B Program. These providers serve hundreds of thousands of people across the U. S. If Sagebrush wins, it could set a precedent for other similar cases.
The outcome of this lawsuit could have big implications. It could affect how drug companies interact with nonprofits and the patients they serve. For now, Sagebrush remains committed to their mission. They want to continue providing affordable care to those who need it most.
https://localnews.ai/article/a-fight-for-affordable-medicine-nonprofit-takes-on-big-pharma-6e8563bf
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