FDA to Regulate Online Prescription Drug Sales

Strategic Insights -

As the internet continues to revolutionize the way we shop and access services, concerns have risen about the regulation of online prescription drug sales. In an effort to prevent a pharmaceuticals black market from developing in cyberspace, the Food and Drug Administration (FDA) is set to be put in charge of regulating online prescription drug sales. This move follows the online pharmacy industry's attempt to found a coalition of its own, seeking to bring self-regulation to the growing field of buying drugs and other medical products online.

Key Takeaways:

  • The FDA will be responsible for regulating online prescription drug sales, with fines up to $500,000 for violations of federal regulations.
  • The plan is expected to cost up to $10 million, which will be used to hire about 100 FDA enforcers and for computer upgrades at the agency.
  • The FDA has already launched a webpage to deal with internet drug and medical sales, providing information on how to protect consumers from online practices involving the sale of FDA-regulated products.
  • The National Association of Boards of Pharmacy has identified about 400 websites that sell drugs, many of which are "rogues".
  • The online pharmacy industry is seeking to bring self-regulation to the field, with corporations such as PlanetRx.com, drugstore.com, CVS.com, and Merck-Medco joining a coalition to address government concerns.

Statistics:

  • 400: The number of websites identified by the National Association of Boards of Pharmacy as selling drugs, many of which are "rogues".
  • $500,000: The maximum fine for violations of federal regulations under the proposed plan.
  • $10 million: The estimated cost of the plan to regulate online prescription drug sales.
  • 100: The number of FDA enforcers expected to be hired under the plan.

Sources:

  • "FDA Would Regulate Online Drug Sales," Wall Street Journal, 1999
  • "FDA Asks Congress to Bankroll Online Enforcement," WTOP, 1999
  • "FDA, Online Pharmacies Squabble Over Regulation," Newsbytes, 1999
  • "FDA Web Page Offers Consumers Tips on Staying Safe," Newsbytes, 1999