Memorandum to Internet Pharmacies: the Regulation and Enforcement of the Internet Pharmacy Industry

Abstract

This memorandum discusses the regulation of, and enforcement regarding, the internet pharmacy industry. It concludes that the problem does not require additional regulation; existing laws are sufficient to protect against the current problems. The federal government is, however, in a position to aid state law enforcement efforts. This memorandum proposes two ways in which Congress can bolster states’ attempts to enforce their laws. First, allowing states to gain injunctions in federal court, through a much narrower version of the Telemarketing Sales Rule, would make state enforcement efforts stronger and more efficient without burdening the federal courts. Second, encouraging states to form an interstate compact that better aligned incentives and enforcement capacities would give states more power without requiring federal resources.