Attorney General Peter F. Neronha has announced the conclusion of an enforcement action against Prime Therapeutics, LLC, a pharmacy benefit manager (PBM), for allegedly violating Rhode Island law regarding pharmacy audits. The Office of the Attorney General accused Prime Therapeutics of conducting unannounced audits at three independent pharmacies in the state.
“Where there’s money to be made, there will inevitably be those willing to exploit an industry to maximize profit, and unfortunately, health care is not exempt,” said Attorney General Neronha. “This is precisely why my Office filed a lawsuit against three of the largest PBMs last year. We allege that these groups often exploit the complex scheme of pricing and payment for prescription drugs, and take a cut of ever-increasing drug prices at every step of the way. Here, we allege that Prime Therapeutics violated the law when they caused undue administrative burden and disruption to three independent Rhode Island pharmacies by showing up unannounced and demanding to see their books. This kind of behavior can drive up pharmacy costs, limit care choices, and harm local businesses if left unchecked. So, we checked it.”
The Pharmacy Audit Act was established by the Rhode Island General Assembly to protect pharmacies from unfair audit practices by PBMs and related entities. The law gives enforcement authority to the Attorney General’s Office and sets requirements for how audits must be conducted.
According to a complaint filed in Providence Superior Court, on October 27, 2025, Prime Therapeutics began unannounced audits at three independently owned pharmacies. The complaint alleges that Prime did not provide advance notice about which prescriptions would be audited, audited records older than two years allowed by law, and denied requests from pharmacies to reschedule with auditors—actions that are claimed as violations.
In response to these allegations, Prime Therapeutics has agreed in an Assurance of Voluntary Compliance filed with the court to end the audits started on October 27, 2025. The company also committed to following all legal requirements for future audits and accepted additional provisions intended to ensure compliance.
The Attorney General’s Office explained that these protections aim to reduce disruptions during audits so that pharmacies can continue patient care effectively and have enough time to prepare for reviews. The Office also noted concerns about PBMs owning or partnering with competing pharmacies and having incentives that could increase costs or reclaim payments from independent competitors.
This enforcement follows a previous lawsuit brought by the Attorney General’s Office in 2025 against major PBMs—including CVS Caremark, Express Scripts, Optum—and their affiliated group purchasing organizations for allegedly raising prescription drug costs unfairly and limiting options for patients in Rhode Island.
“Where there’s money to be made…So, we checked it.” – Attorney General Peter F. Neronha
To learn more about health care initiatives led by the Office of the Attorney General, information is available on their dedicated website.
