2014 Virginia Code
Title 54.1 - Professions and Occupations
§ 54.1-3401.1. Practices not considered wholesale distribution

A. Wholesale distribution, as defined in § 54.1-3401, shall not include:

1. Intracompany sales, including any transaction or transfer between any division, subsidiary, parent, and/or affiliated or related company under the common ownership and control of a corporate entity;

2. The purchase or other acquisition by a hospital or other health care entity that is a member of a group purchasing organization of a drug for its own use from the group purchasing organization or from other hospitals or health care entities that are members of such organization;

3. The sale, purchase, or trade of a drug or an offer to sell, purchase, or trade a drug by a charitable organization, described in § 501(c)(3) of the Internal Revenue Code of 1986 (26 U.S.C. § 501 (c)(3)), to a nonprofit affiliate of such organization to the extent otherwise permitted by law;

4. The sale, purchase, or trade of a drug or an offer to sell, purchase, or trade a drug among hospitals or other health care entities that are under common control;

5. The sale, purchase, or trade of a drug or an offer to sell, purchase, or trade a drug for emergency medical reasons;

6. The sale, purchase, or trade of a drug or an offer to sell, purchase, or trade a drug, or the dispensing of a drug pursuant to a prescription;

7. The distribution of drug samples by manufacturers' representatives or distributors' representatives; or

8. The sale, purchase, or trade of or the offer to sell, purchase, or trade blood and blood components intended for transfusion.

B. For the purposes of this section:

"Blood" means whole blood collected from a single donor and processed either for transfusion or further manufacturing.

"Blood component" means that part of blood separated by physical or mechanical means.

"Common control" means the power to direct or cause the direction of the management and policies of a person or an organization, whether by ownership of stock, voting rights, by contract, or otherwise.

"Drug sample" means a unit of a prescription drug that is not intended to be sold and is intended to promote the sale of the drug.

"Emergency medical reasons" includes transfers of prescription drugs by a retail pharmacy to another retail pharmacy to alleviate a temporary shortage arising from delays in or interruptions of regular distribution schedules.

1992, c. 737 .