Several organizations representing pharmaceutical manufacturers are suing the Trump administration over a new rule that ties what Medicare pays for prescription drugs to the lowest prices in other countries, Reuters news agency reported.

The rule, which takes effect Jan. 1, is part of a last-minute flurry of policy changes by President Donald Trump in an attempt to cement his legacy, according to Reuters. The change would apply to 50 drugs by tying them to the lowest prices paid in several rich countries, with the administration predicting it could save taxpayers $85 billion over seven years.

However, in two lawsuits filed in Maryland and California federal courts, Pharmaceutical Research and Manufacturers of America, the Biotechnology Innovation Organization and several smaller organizations contend the rule change is illegal because it relies on laws allowing the federal government to test drug pricing schemes. The scope of the rule change is too broad to count as a pilot program, the groups contend.

"It's not a test when it impacts the entire country and implicates 90% of (Medicare's hospital drug) spending with no control group," PhRMA CEO Steve Ubl said.

The Association of Community Cancer Centers has also joined in the lawsuits, contending lower reimbursements for many drugs could push some of their members out of business, according to Reuters.

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