Another Attempt to Curb the Sale of Prescription Data Comes Up Empty

Last year, the Supreme Court limited the ability of states to regulate the sale of prescription data.  In Sorrell v. IMS Health, the Supreme Court determined that a 2007 Vermont law that effectively banned the sale of prescription data for commercial marketing purposes unless the prescriber consented was an unconstitutional limitation on free speech.  Now another attempt to curb the sale of prescription data for marketing purposes has failed. 

On February 15th, U.S. District Judge Mary McLaughlin in Philadelphia ruled that a pharmacy chain could not be sued under Pennsylvania’s Unfair Trade Practices and Consumer Protection Law (UTPCPL) for selling prescription-related information about consumers to pharmaceutical manufacturers and data firms without the consumers’ knowledge or consent.  Arthur Steinberg and Philadelphia Federation of Teachers Health and Welfare Fund v. CVS Caremark Corporation, E.D. Pa., No. 11-2428 (2011).  The suit alleged that CVS Caremark Corporation and CVS Pharmacy, Inc., (collectively “CVS”) violated the UTPCPL and the common law prohibitions against unjust enrichment and invasion of privacy by failing to disclose to consumers that third parties could buy confidential information related to their prescriptions.  The class action had originally been filed in state court, but was removed to federal court by CVS.  The judge’s order dismissed this class action lawsuit with prejudice because the plaintiffs had failed to allege an actionable claim.

Please see full article below for more information.

LOADING PDF: If there are any problems, click here to download the file.

Written by:

Published In:

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Mintz Levin - Health Law & Policy Matters | Attorney Advertising

Don't miss a thing! Build a custom news brief:

Read fresh new writing on compliance, cybersecurity, Dodd-Frank, whistleblowers, social media, hiring & firing, patent reform, the NLRB, Obamacare, the SEC…

…or whatever matters the most to you. Follow authors, firms, and topics on JD Supra.

Create your news brief now - it's free and easy »

All the intelligence you need, in one easy email:

Great! Your first step to building an email digest of JD Supra authors and topics. Log in with LinkedIn so we can start sending your digest...

Sign up for your custom alerts now, using LinkedIn ›

* With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name.