April 6th, 2016 by WCBC Radio
West Virginia Attorney General Patrick Morrisey today announced a $4.9 million settlement with Rite Aid to resolve a dispute that involved cost savings derived from the sale of generic prescription drugs.
The settlement requires Rite Aid to pay $4.9 million and implement a compliance program in accordance with the state’s Pharmacy Act. The act requires pharmacies to pass retail savings from the sale of generic prescription drugs onto consumers.
“Companies choosing to operate in West Virginia must respect its laws,” Attorney General Morrisey said. “We will always enforce our laws and protect consumers.”
While the Rite Aid case has been settled, litigation against the remaining defendants continues in Boone Circuit Court.
The lawsuit alleged Rite Aid failed to accurately calculate and pass along retail savings from its sale of generic prescription drugs. It further alleges each instance constituted a violation of the state’s Consumer Credit and Protection Act.
Rite Aid denies any wrongdoing as part of the settlement. Both sides agreed to the financial payout and implementation of Rite Aid’s compliance program in order to avoid the distraction and expense of continued litigation.
Rite Aid must implement and execute its compliance program within two years of the settlement. The program’s scope is limited to those customers whose transactions are not covered by insurance.
View a copy of the settlement agreement and dismissal order at http://1.usa.gov/1UGkg81.
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