The cases stem from the companies' effort to match a 2006 decision by Walmart to offer 30-day supplies of many generic drugs for $4. SuperValu and Safeway matched the discounted price at their pharmacies, but they reported to the federal and various state governments a much higher "usual and customary" price when seeking reimbursement. The 7th U.S. Circuit Court of Appeals dismissed the suits against both companies, holding that their decisions to report the higher prices were "not objectively unreasonable" under the federal False Claims Act. Writing for the high court Thursday, Justice Clarence Thomas wrote that the appeals court applied the wrong standard. "What matters for an FCA case is whether the defendant knew the claim was false," Thomas wrote. An expert for the whistleblower in the Safeway lawsuit testified that the company received $127 million more than it would have gotten had it reported the discounted price, according to court papers.