A U.S. federal judge has rejected challenges by two pharmaceutical manufacturers seeking to block a Maine law that regulates the use of contract pharmacies under the federal 340B drug discount program.

Novartis AG (NYSE:NVS) and AbbVie Inc. (NYSE:ABBV) argued the statute conflicted with federal law and violated constitutional provisions, but the court disagreed.

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The plaintiffs contended the Maine statute was preempted by federal law, infringed on interstate commerce, constituted an unlawful taking, and was unconstitutionally vague. After reviewing written submissions and oral arguments, the court denied the requests for relief.

Thomson Reuters published a copy of the lawsuit online on Tuesday.

Over the years, the program has expanded significantly. According to filings, the number of contract pharmacy sites grew from about 1,300 in 2010 ...