Bill Text: NJ S2461 | 2018-2019 | Regular Session | Introduced
Bill Title: Prohibits drug manufacturers and distributors from advertising prescription drug products in New Jersey.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2018-04-12 - Introduced in the Senate, Referred to Senate Health, Human Services and Senior Citizens Committee [S2461 Detail]
Download: New_Jersey-2018-S2461-Introduced.html
Sponsored by:
Senator JOSEPH P. CRYAN
District 20 (Union)
SYNOPSIS
Prohibits drug manufacturers and distributors from advertising prescription drug products in New Jersey.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning prescription drug advertisements by pharmaceutical companies, supplementing Title 24 of the Revised Statutes, and repealing section 3 of P.L.1977, c.240.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. The advertisement of prescription drug products to members of the public shall be prohibited in this State. No drug manufacturing business registered pursuant to P.L.1961, c.52 (C.24:6B-1 et seq.) or authorized distributor licensed pursuant to P.L.2005, c.206 (C.24:6B-14 et seq.) shall be authorized to engage in advertising in this State as a means to promote the sale of any prescription drug products that are manufactured or distributed by the drug manufacturing business or authorized distributor.
b. If a drug manufacturing business or authorized distributor violates the provisions of subsection a. of this section, either directly or indirectly through the actions of its officers or employees, the commissioner shall order the violator, in writing, to cease and desist the unlawful practice, or to take such affirmative action as may be necessary to ensure future compliance with the provisions of this section. An order issued pursuant to this subsection shall identify: (1) the actions that constituted the violation; (2) the date by which the unlawful actions are to be ceased or otherwise corrected; and (3) the name of the individual or individuals with administrative authority who will be responsible for ensuring that the ordered action is timely undertaken by the entity. The order shall be delivered, in person or by certified mail, to an individual at the entity who has been designated to receive service of the commissioner's orders.
c. If a drug manufacturing business or authorized distributor fails to comply with an order of the commissioner, which is issued pursuant to subsection b. of this section, the individual or individuals who are named in the order as being responsible for ensuring the entity's compliance therewith shall, in the case of a first offense, be guilty of a disorderly persons offense, and in the case of a second or subsequent offense, be guilty of a crime of the fourth degree. The drug manufacturing business or authorized distributor, as the case may be, shall also be liable to pay a civil penalty as follows: in the case of a first offense, a penalty of not less than $200 or more than $5,000, and in the case of a second or subsequent offense, a penalty of not less than $1,000 or more than $20,000. The penalties imposed pursuant to this subsection shall be in addition to any other penalties provided by law, and shall be enforced by the department in a summary proceeding brought under the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
d. Nothing in this section shall limit the powers of the Attorney General with respect to the enforcement of prohibitions against consumer fraud, as provided by P.L.1960, c.39 (C.56:8-1 et seq.), or shall prevent the commissioner, the Division of Consumer Affairs in the Department of Law and Public Safety, or any appropriate board under the purview of the Division of Consumer Affairs from taking any other action permitted by law against a person who violates the provisions of this act.
e. As used in this section:
"Authorized distributor" means the same as that term is defined by section 5 of P.L.2005, c.206 (C.24:6B-14).
"Commissioner" means the Commissioner of Health.
"Drug manufacturing business" means the same as that term is defined by section 13 of P.L.1961, c.52 (C.24:6B-12).
2. The Commissioner of Health shall adopt rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as may be necessary to implement the provisions of this act.
3. Sections 3 of P.L.1977, c.240 (C.24:6E-2) is repealed.
4. This act shall take effect immediately.
STATEMENT
This bill would prohibit the advertisement of prescription drug products to members of the public in this State. Specifically, the bill would provide that no drug manufacturing business registered pursuant to P.L.1961, c.52 (C.24:6B-1 et seq.) or authorized drug distributor licensed pursuant to P.L.2005, c.206 (C.24:6B-14 et seq.) may engage in advertising in this State as a means to promote the sale of any prescription drug products that are manufactured or distributed thereby.
If a drug manufacturing business or authorized distributor violates the bill's prohibition, either directly or indirectly through the actions of its officers or employees, the Commissioner of Health will be required to order the violator, in writing, to cease and desist the unlawful practice, or to take such affirmative action as may be necessary to ensure future compliance with the bill's provisions. The commissioner's order would need to identify: 1) the actions that constituted the violation; 2) the date by which the unlawful actions are to be ceased or otherwise corrected; and 3) the name of the individual or individuals with administrative authority who will be responsible for ensuring that the ordered action is timely undertaken by the entity.
If a drug manufacturing business or authorized distributor fails to comply with an order of the commissioner, the individual or individuals who are named in the commissioner's order as being responsible for ensuring the entity's compliance therewith would, in the case of a first offense, be guilty of a disorderly persons offense, and, in the case of a second or subsequent offense, be guilty of a crime of the fourth degree. The drug manufacturing business or authorized distributor, as the case may be, would also be liable to pay a civil penalty as follows: in the case of a first offense, a penalty of not less than $200 or more than $5,000, and in the case of a second or subsequent offense, a penalty of not less than $1,000 or more than $20,000. These penalties would be in addition to any other penalties provided by law.
The bill would repeal section 3 of P.L.1977, c.240 (C.24:6E-2), which authorizes the Director of the Division of Consumer Affairs to adopt rules and regulations governing the advertisement of prescription drugs.
