CHAPTER 21. PRESCRIPTION DRUG DISCOUNT CARDS
IC 24-5-21
Chapter 21. Prescription Drug Discount Cards
IC 24-5-21-1
Applicability
Sec. 1. This chapter does not apply to the following:
(1) Eye or vision care services, glasses, or contact lensesprovided by an optometrist or ophthalmologist.
(2) A card, device, or other purchasing mechanism that is notinsurance but that is administered in conjunction with a healthor medical benefit by an insurance company, a nonprofit healthservice plan corporation, or a health maintenance organization.
(3) A benefit administered by or under contract with the state ofIndiana.
(4) A customer discount or membership card issued by a storeor buying club for use at that store or buying club.
As added by P.L.230-2001, SEC.1.
IC 24-5-21-2
"Person" defined
Sec. 2. As used in this chapter, "person" has the meaning set forthin IC 24-5-0.5-2.
As added by P.L.230-2001, SEC.1.
IC 24-5-21-3
Prohibitions against sale or distribution of card
Sec. 3. A person may not sell, market, promote, advertise, ordistribute a card, device, or other purchasing mechanism thatpurports to offer discounts or access to discounts from a pharmacyfor prescription drug or device purchases in the following situations:
(1) The card, device, or other purchasing mechanism does notexpressly state in bold and prominent type, which isprominently placed, that the discounts are not insurance.
(2) The discounts are not specifically authorized by anindividual and separate contract with each pharmacy listed withthe card, device, or other purchasing mechanism.
(3) The discounts or access to discounts offered, or the range ofdiscounts or access to the range of discounts offered aredeceptive or misleading.
As added by P.L.230-2001, SEC.1.
IC 24-5-21-4
Indiana resident designated as agent for service of process
Sec. 4. A person who is not exempt under section 1 of this chapterand who sells, markets, promotes, advertises, or distributes a card,device, or other purchasing mechanism that purports to offerdiscounts or access to discounts from a pharmacy for prescriptiondrug or device purchases shall designate a resident in Indiana as anagent for service of process and register the agent with the secretaryof state.As added by P.L.230-2001, SEC.1.
IC 24-5-21-5
Card voidable for noncompliance
Sec. 5. A contract entered into to purchase a card, device, or otherpurchasing mechanism that purports to offer discounts or access todiscounts from a pharmacy for prescription drug or device purchasesthat does not comply with this chapter is voidable by the purchaser.
As added by P.L.230-2001, SEC.1.
IC 24-5-21-6
Legal action for violations
Sec. 6. (a) The attorney general, a prosecuting attorney, or anindividual may maintain an action to enjoin any act that is inviolation of this chapter and for the recovery of damages.
(b) An action brought under this section may be brought in thecounty where:
(1) the plaintiff resides or conducts business;
(2) the defendant resides or conducts business; or
(3) the card, device, or other purchasing mechanism thatpurports to offer discounts or access to discounts from apharmacy for prescription drug or device purchases was sold,marketed, promoted, advertised, or distributed.
(c) If the court finds that the defendant violated any provision ofthis chapter, the court shall enjoin the defendant from continuing theacts that are in violation of this chapter.
(d) A plaintiff who prevails in an action under this chapter mayrecover the following:
(1) A sum equal to one hundred dollars ($100) per card, device,or other purchasing mechanism that is sold or distributed inIndiana by the defendant or ten thousand dollars ($10,000),whichever is greater.
(2) Three (3) times the amount of actual damages, if any.
(3) Reasonable attorney's fees.
(4) Court costs.
(5) Any other relief that the court considers proper.
As added by P.L.230-2001, SEC.1.
IC 24-5-21-7
Provisions not exclusive
Sec. 7. (a) The provisions of this chapter are not exclusive and donot relieve a person from compliance with other applicableprovisions of law.
(b) The penalties in this chapter are cumulative and in addition toany other applicable penalties.
(c) A person that violates this chapter is subject to the penaltiesset forth in IC 24-5-0.5.
(d) All actions brought under this chapter must be brought withintwo (2) years after the date on which the violation of this chapteroccurred.As added by P.L.230-2001, SEC.1.