62J.842 EXCESSIVE PRICE INCREASES PROHIBITED.
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62J.842 EXCESSIVE PRICE INCREASES PROHIBITED.
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Subdivision 1. Prohibition.
No manufacturer shall impose, or cause to be imposed, an excessive price increase, whether directly or through a wholesale distributor, pharmacy, or similar intermediary, on the sale of any generic or off-patent drug sold, dispensed, or delivered to any consumer in the state.
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Subd. 2. Excessive price increase.
A price increase is excessive for purposes of this section when:
(1)the price increase, adjusted for inflation utilizing the Consumer Price Index, exceeds:
(i)15 percent of the wholesale acquisition cost over the immediately preceding calendar year; or
(ii)40 percent of the wholesale acquisition cost over the immediately preceding three calendar years; and
(2)the price increase, adjusted for inflation utilizing the Consumer Price Index, exceeds $30 for:
(i)a 30-day supply of the drug; or
(ii)a course of treatment lasting less than 30 days.
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Subd. 3. Exemption.
It is not a violation of this section for a wholesale distributor or pharmacy to increase the price of a generic or off-patent drug if the price increase is directly attributable to additional costs for the drug imposed on the wholesale distributor or pharmacy by the manufacturer of the drug.