Louisiana announces three lawsuits against CVS, cites new law and broader crackdown on PBMs

BATON ROUGE — Governor Landry and Attorney General Liz Murrell announced at a press event that Murrell’s office has filed three lawsuits against CVS Healthcare Corporation, Caremark PCS Health LLC and affiliated entities, alleging violations of Louisiana’s Unfair Trade Practices Act and other state laws and contending that pharmacy benefit manager (PBM) practices have driven independent pharmacists out of business.

"Today I'm announcing that 3 new lawsuits are being filed against CVS Healthcare Corporation, Caremark PCS Health LLC and all of their affiliated entities," Attorney General Liz Murrell said, adding that the suits "predominantly relate to violations of the Unfair Trade Practices Act" and include claims tied to vertical integration and the use of customer information to send political messages. Murrell said copies of the lawsuits will be posted on the attorney general’s website and through her press office.

Murrell told reporters she sent a cease-and-desist letter to CVS on June 12 after "thousands of Louisianans received a text message about a bill that was moving through the legislature," and said the office will seek restitution and other remedies "related to any kind of specific damages that we incur in the investigation of the lawsuits." She added that penalties and attorney fees available under the Unfair Trade Practices Act may be pursued.

Governor Landry framed the announcement by describing PBMs as "corporate profiteers inserted into the most intimate part of your life and your health," and urged prohibiting PBMs from owning and operating pharmacies. "When you let middlemen control everything, it's not a free market. It's a rigged market," he said, arguing that vertical integration lets PBMs steer patients to pharmacies they own and undercut local pharmacists.

Both officials cited HB 264, a measure Landry said he has signed, as strengthening transparency and enforcement tools. "This piece ... offers the added enforcement of laws which have been on the books and we have not seen enforced until this time," a speaker at the event said, describing the bill’s goals as banning spread pricing, reforming rebate practices and protecting independent pharmacists from clawbacks and other contracting practices.

Murrell said the office already has existing suits against other PBMs, including OptumRx and Express Scripts, and that the three new filings target companies that together account for a large share of the pharmacy market. "Since 2022, we've had over 100 independent pharmacies close," she said, calling the closures evidence of pervasive conduct across the PBM market.

When asked whether the governor would call a special legislative session to enact further restrictions, Landry said state officials are convening experts to determine whether the executive branch can act unilaterally; if not, he said he intends to bring the legislature back to put additional laws in place. "As soon as I find out when I can act, we'll act," he said.

On questions about a parallel class-action lawsuit, Murrell distinguished the state’s suit from private class actions, saying the state’s authority and remedies under title 51 differ from those of individual plaintiffs. "So that lawsuit was filed on behalf of individuals, and our lawsuit is filed on behalf of the state," she said.

The governor and the attorney general said their offices will keep the press updated as investigations and litigation proceed. "We will be updating the press as ... the suits move through, and we will let the press know as we make our way towards whether or not we could take unilateral action or we need legislative action," Governor Landry said.

What happens next: Murrell said the lawsuits have been filed and will be available through her office; officials said they are reviewing statutory authority (including provisions in title 22 and title 51) and the state will pursue enforcement and transparency measures under HB 264 and existing law. No court filings or calendar dates were announced at the event.