Lower Drug Costs Are Just a Federal License Away. But They Require Biden Administration Leadership
It’s a longstanding government failure to never use federal “march-in”
licensing rights to lower drug prices. It’s also a mistake to limit them to only a few cases
JANUARY 23, 2024
BY JAMES LOVE
In December the White House announced a new draft guidance that allows federal agencies to grant nonvoluntary licenses to patents on inventions funded with taxpayer dollars. These are called “march-in” rights, and they allow the government to force licensing, when necessary, to remedy an abuse or nonuse of such patented inventions.
The draft guidance fundamentally changes policy on federally funded inventions, including drugs and other products that rely on inventions that are sold at high prices by pharma and biotech companies. In doing so, it flexes a muscle that past administrations feared to brandish.