West Virginia Reaches Agreement With Rite Aid Over Generic Drugs
Rite Aid will pay $4.9 million to the state of West Virginia and implement a compliance program to ensure it follows the state Pharmacy Act in a settlement the state reached with the chain over a dispute involving cost savings from the sale of generic prescription drugs.
The state was represented by Brian Glasser and John Barrett of Bailey Glasser’s Charleston, West Virginia, office, among others, in a lawsuit that alleged Rite Aid had failed to pass retail savings from the sale of generic drugs onto customers. Bailey Glasser’s co-counsel were Sean P. McGinley and Joshua I. Barrett, with DiTrapano Barrett DiPiero McGinley & Simmons, PLLC.
As part of its compliance program, Rite Aid agreed to conduct a quarterly review of its generic drug transactions at West Virginia stores to customers without insurance and compare acquisition costs and retail prices to brand-name drugs, and then adjust retail prices if necessary to ensure savings are passed onto customers.