AG Shapiro Stops Price Gouging By PA Pharmacy Supplier

June 17, 2020 | Topic: Consumers

HARRISBURG―Attorney General Josh Shapiro today announced that his office stopped illegal price gouging from Landmark Supply, Inc., a New Jersey supplier to Pennsylvania pharmacies. This is the first settlement involving alleged price gouging by a supplier that has been filed by Attorney General Shapiro.

“We won’t tolerate illegal price gouging, especially from suppliers and wholesalers who try to rip off Pennsylvania small businesses and their consumers. Fair prices are critical when so many have lost wages and nearly 1 in 3 residents are out of work,” said Attorney General Shapiro. “You have a right in Pennsylvania to purchase life-saving goods at reasonable prices in times like these. If you see suspicious price increases on products like groceries and medicine, I encourage you to email and fill out a complaint form so we can put a stop to price gouging.”

The Pennsylvania Office of Attorney General entered into an Assurance of Voluntary Compliance (AVC) with Landmark Supply, Inc. after the Office received a consumer complaint alleging that a Pennsylvania pharmacy was selling hand sanitizer for unlawful prices. In reviewing the chain of distribution of the hand sanitizer, the Office learned that the pharmacy purchased the hand sanitizer from Landmark Supply, Inc. Landmark Supply, Inc. sold 8 oz. bottles of “Purell Hand Sanitizer” to Pennsylvania pharmacies for $7.98 and $9.50 per bottle.

Under the Price Gouging Act, a price increase of more than 20 percent during a declared state of emergency is considered price gouging.  The AVC requires Landmark Supply, Inc. to pay $2,150.00 in civil penalties, in addition to restitution of $160.51 for consumers who purchased the hand sanitizer from pharmacies that purchased the hand sanitizer from Landmark. Landmark Supply, Inc. agreed to fully comply with all provisions of the Pennsylvania Consumer Protection Law and Price Gouging Act.

Consumers who purchased 8 oz. bottles of “Purell Hand Sanitizer” from any of the Pennsylvania pharmacies listed below may be eligible for restitution if they paid more than they should have:

  1. Abington Pharmacy: 1460 Old York Rd, Abington, PA 19001;
  2. Apex Pharmacy: 7200 Frankford Avenue, Philadelphia, PA 19135;
  3. Aramingo Pharmacy: 2313 E. Venango St., Store 1A, Philadelphia, PA 19134;
  4. Bluegrass Pharmacy: 2417 Welsh Road, Store 15, Philadelphia, PA 19114;
  5. Fairdale Pharmacy: 4019 Fairdale Rd., Philadelphia, PA 19154;
  6. Future Pharmacy: 9831 Bustleton Ave., Suite 6, Philadelphia, PA 19115;
  7. Keystone Care Pharmacy: 203 N. Broad St., Lansdale, PA 19446;
  8. Klingensmith’s Drug Store #1: 380 S. Jefferson St., Kittanning, PA 16201;
  9. Medical Arts Pharmacy: 220 Wilson St., Suite 100, Carlisle, PA 17013;
  10. Palmer Pharmacy LLC: 738 Little Deer Creek Valley Rd., Russellton, PA 15076;
  11. Pennmark Pharmacy: 1735 South St., 1st Floor, Philadelphia, PA 19146;
  12. The Medicine Shoppe: 2239 Pittston Ave., Scranton, PA 18505;
  13. Waschko’s Pharmacy: 257 N. Wyoming St., Hazelton, PA 18201;
  14. Woodward Pharmacy: 565 Spring St., Houtzdale, PA 16651.

In order to be considered for restitution, consumers should file a consumer complaint form and attach a copy of their receipt showing they purchased the hand sanitizer from one of the pharmacies listed above between March 6, 2020 and June 17, 2020.  Complaints must be submitted by August 16, 2020 to be considered.

# # #