To provide that the approved application under the Federal Food, Drug, and Cosmetic Act for the drug mifepristone for the purpose of the termination of intrauterine pregnancy is deemed to have been withdrawn, to establish a Federal tort for harm to women caused by chemical abortion drugs, and for other purposes.

This bill, HR7902, directly withdraws the FDA approval for mifepristone, effectively banning its sale and use for the termination of intrauterine pregnancy. This action eliminates the market for chemical abortion drugs in the United States. Furthermore, it establishes a federal tort for harm caused by these drugs, creating legal liabilities for past and future use, even if the drug is no longer approved. This legislative move represents a direct and immediate market contraction for any pharmaceutical company involved in the manufacture or distribution of mifepristone. The money trail for this bill is primarily defined by market contraction and reallocation. Pharmaceutical companies that previously manufactured or distributed mifepristone will experience a complete loss of revenue from this product. Conversely, healthcare providers offering surgical abortion services will see an increase in demand. Emergency care facilities will also experience increased patient volume related to complications from self-managed abortions or delayed care. Insurance companies, such as UnitedHealth Group ($UNH), will face shifts in claims, moving from pharmaceutical costs to higher-cost surgical procedures and emergency room visits. Historically, direct federal intervention to withdraw FDA approval for a widely used drug is rare. While not directly comparable, the 2010 withdrawal of Avastin's breast cancer indication by the FDA, despite continued use for other cancers, led to a significant revenue hit for Genentech (then a subsidiary of Roche). This action did not involve a legislative ban but demonstrated the financial impact of market removal. The market for mifepristone is estimated to be in the hundreds of millions of dollars annually, representing a complete loss for its manufacturers. Specific losers include pharmaceutical companies that have manufactured or distributed mifepristone. While Danco Laboratories is a private entity, the broader pharmaceutical sector, including companies like Pfizer ($PFE), Teva Pharmaceutical Industries ($TEVA), and Viatris, which have diverse portfolios, will see this as a precedent for increased regulatory risk. Winners, in terms of increased patient volume, will be hospital systems like HCA Healthcare ($HCA) and dialysis providers like DaVita ($DVA) if they expand services, as well as staffing agencies like AMN Healthcare Services ($AMN) for surgical staff. Pharmacy chains like CVS Health ($CVS) and Walgreens Boots Alliance will lose revenue from prescription fulfillment. The timeline for this bill, if passed, would be immediate upon enactment, with the FDA approval deemed withdrawn. The tort provisions would also become effective immediately. This bill has passed the House and is now in the Senate. The next step is consideration by the Senate, where it faces a higher hurdle for passage. If it passes the Senate, it would then go to the President for signature. The effective date would be upon enactment.