PDMA Services

The Prescription Drug Marketing Act ("PDMA") was enacted in 1988 to address certain prescription drug marketing practices that have contributed to the diversion of large quantities of such drugs into a secondary grey market. These marketing practices including: the distribution of free samples, the use of coupons redeemable for drugs at no cost or low cost, and the sale of deeply discounted drugs to hospitals and health care entities, have helped fuel a multi-million dollar drug diversion market that provides a portal through which mislabeled, subpotent, adulterated, expired, and counterfeit drugs are able to enter the nation's drug distribution system.

In 1990, the US FDA published final federal regulations mandating state guidelines for enforcing minimum requirements on prescription drug storage and security, as well as on the treatment of returned, damaged, and outdated prescription drugs.  Further, wholesale drug distributors were required to establish and maintain inventories and records of all transactions regarding the receipt and distribution of prescription drugs and make these available for inspection and copying by authorized law enforcement officials (21 CFR 205).

Achieving and maintaining PDMA compliance can be a complex and substantial undertaking for any pharmaceutical organization.  We have experience in the development and enforcement of PDMA compliance programs. CompliaPharm can help guide you in understanding and avoiding issues that could result in fines or, in even more serious cases, possible criminal indictments for noncompliance. CompliaPharm can assist with:

  • Development of policies and SOPs for PDMA compliance including details for enforcement of disciplinary action against employees or contractors who violate company policies and procedures or applicable healthcare program requirements. 
  • Development of monitoring processes to ensure that drugs are not diverted.  This includes audits of the sales force, monitoring of marketing promotions, physician signature audits, and tracking and trending of sales force inventories.
  • Due diligence with customers and wholesalers.
  • Guidance to Compliance Officers or Corporate Compliance Committees including the development of lines of communication with employees.
  • Creation and implementation of regular, effective education and training programs for all employees involved in PDMA regulated activities.
  • Audits and other risk-evaluation techniques to monitor compliance, identify problem areas, and assist in the reduction of identified problems.
  • Inventory tracking processes.
  • Ongoing guidance on the key compliance issues of PDMA and state regulations.
  • Defining what constitutes a significant loss reportable to the FDA.