Saturday, December 7, 2013

Three Things a Person Should Consider Before Taking A Job Selling or Marketing Compounded Preparations in Order to Stay Out of Civil and Criminal Trouble

December 7, 2013
by Sue Tuck Richmond

1.  Check out the reputation and record of not just the compounding pharmacy but of the pharmacists.  Check with others in the industry.  Ask questions and lots of them.  For example, how many other people have held the job you are considering. A high turnover rate of employees is normally not a good sign. At the same time if only one person has held the position this can also have issues associated with it. One person controlling all the information and being the only person who knows how to do the job means one person has a lot of control.  Why? Is this a sign the pharmacy owners or pharmacists do not delegate or trust. Are they doing something they don't want others to discover? The reputation of  the pharmacy and pharmacists are also important.  Are they ethical, have integrity, and willing to follow the the rules even though it may mean they don't make as much money as others who aren't willing to follow the rules. Do your research.  Check out the disciplinary record of both pharmacy and pharmacists not just in the state of resident but all states they do business in. And especially check the FDA website for 483s or other warnings issued to the pharmacy or pharmacists.

2.  Go over the details of the job description with a fine-tooth comb.  What exactly are you required to do in order to do your job.  You should not be ask to do anything illegal or against your will. Anything that hints of kickbacks and under-the-table transactions are red flags.  If a huge salary or commission are promised, be careful.  Even if this is possible and true, what do you have to do to obtain that salary.    If the job requires you to do something that is against the law you should run and run fast. Does it require you to do something immoral?  Unethical?   If you have any questions about what you can and can't do legally when selling compounded preparations, please consult a reputable attorney.

3.  Are you going to be treated as an employee or a contract employee (1099 for tax purposes employee).   Are 1099 employees allowed in your state for these positions.  Know and understand the legal difference and the advantages and he disadvantages to both.  Are they going to pay you a salary or a commission or a combination of both.  This could effect how you are treated for tax purposes (both state and federal) because no matter what the pharmacy or pharmacists decides to call you, there are tax rules and regulations that determine which category you fit in.  Again consult an attorney if you have any questions about this area of law.

The compounding world is being watched closely in light of the recent deadly events.  Everyone is or should be paying attention--Congress, the FDA and states, and consumers right now.  You don't want to get caught in a wicked web that has the potential to cause you civil and even possibly criminal  trouble because you took a job not knowing that what you were being asked to do was illegal.  Know the rules. Know the law.  And refuse to do anything but follow them if you are selling or marketing compounded preparations.


2 comments:

lindy.bear said...

Ummm. If I had the mindset of someone who was going to be a sales rep for a compounding pharmacy, I wouldn't ask any of those questions. Just like the mortgage brokers who sold "No income, No verification Liar Loans" in the housing boom/bust, a sales rep wants to know only two questions:

"How much do I get paid?"
and
"When?"

Kenneth Woliner, MD
www.holisticfamilymed.com

bloglady said...

Sad but you are right. You can tell that is the mindset from the comments on the cafepharma discussions of those in the jobs and those considering the jobs.