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PharMerica Settlements Highlight Potential for Dual False Claims Act and Controlled Substances Act Liability for Invalid Prescriptions

The American Society for Pharmacy Law's (ASPL) Rx Ipsa Loquitur

In the July/August 2015 issue of Rx Ipsa Loquitur, the newsletter publication of the American Society for Pharmacy Law (ASPL), Barbara Rowland, and Matthew T. Newcomer, examine potential dual False Claims Act and Controlled Substances Act liability for Medicare Part D and Medicaid providers.

The article looks at the issue against the backdrop of recent settlement agreements between PharMerica Corporation and the U.S. Department of Justice (DOJ), U.S. Department of Health and Human Services (HHS), and the Drug Enforcement Administration (DEA).

The authors note:

"The PharMerica settlement exemplifies the current interests of the government, and whistleblowers, in using the False Claims Act to recover substantial damages and penalties for not uncommon violations of the CSA [Controlled Substances Act] and its regulations - violations that until now typically had been resolved by DEA through civil penalties or administrative remedies."

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Disclaimer: This post does not offer specific legal advice, nor does it create an attorney-client relationship. You should not reach any legal conclusions based on the information contained in this post without first seeking the advice of counsel.