Laws Of .com

U.S. Court Grants Injunction Against Internet Drug Importer

On November 6, 2003, the United States District Court for the North District of Oklahoma granted a preliminary injunction preventing Rx Depot Inc. from importing prescription drugs into the U.S. from Canada. Rx Depot operates in Tulsa, Oklahoma and has approximately 85 stores throughout the United States. Customers could download forms from the Internet and return them to an Rx Depot outlet which would send them to Canada where prescriptions were filled by Canadian pharmacies. The Court found that the Rx Depot outlets acted as "store fronts for Canadian pharmacies". The Court granted the injunction on the basis that it appeared that the Rx Depot was violating the Federal Food, Drug and Cosmetic Act. That Act prohibits both the re-importation of U.S. manufactured drugs by someone other than the manufacturer, and the importation of foreign manufactured drugs not approved by the FDA. The Court noted that the FDA's personal importation policy allows U.S. citizens to travel to Canada or use the Internet to purchase prescription drugs for personal use. However, Rx Depot was engaged in a commercial activity and did not fall within the personal use policy. The Court cited health and safety concerns as the purpose underlying the FDA prohibitions. The FDA issued a statement approving the decision. The company indicated it would appeal the decision.

On the same day, the FDA issued a press release indicating that the operations of another drug importer, CanaRx Services Inc., are illegal. CanaRx operates in both the U.S. and Canada. The FDA has asked Canadian authorities to investigate.

For more information about the FDA action, visit:

http://www.fda.gov/bbs/topics