All 23 CVS Pharmacy stores in Arkansas could be forced to shut their doors after the state passed a first-of-its-kind law targeting how large pharmacy chains operate.
Act 624, signed by Governor Sarah Huckabee Sanders in April, bans Pharmacy Benefit Managers (PBMs) from owning or operating pharmacies beginning in 2026, a move aimed directly at business models like that of CVS Health, which owns PBM giant CVS Caremark.
The law makes Arkansas the first US state to prohibit vertical integration between PBMs and pharmacies. Supporters say it will curb anti-competitive practices and bring greater transparency to the drug supply chain.
CVS, however, has warned that the new rule could upend care for more than 340,000 pharmacy patients across the state.
“All of our 23 Arkansas stores are currently open and will continue to operate for the immediate future,” a CVS spokesperson told DailyMail.com. “We’re doing everything we can to continue to provide pharmacy services.”
Governor Sanders has framed the law as a crackdown on corporate control in healthcare.
“These massive corporations are attacking our state because we will be the first in the country to hold them accountable for their anticompetitive actions,” she said last month.
The Arkansas Pharmacists Association welcomed the bill, calling it a pro-business measure that removes conflicts of interest and helps small competitors.
But CVS disputes claims that it harms independents, saying its PBM actually reimburses them at higher rates in the majority of cases.
Act 624 takes effect on January 1, 2026, and CVS says it is currently reviewing its options in response.
Click here to sign up to Retail Gazette‘s free daily email newsletter
