Navigation Links
McDonald Hopkins Law Firm Alert: Recent Court of Appeals Decision Highlights the Need to Properly Define the Role of Sales Representatives
Date:4/7/2011

CLEVELAND, April 7, 2011 /PRNewswire/ -- The Ninth Circuit, in Christopher v. Smithkline Beecham Corporation, 2011 WL 489708 (9th Cir., Feb. 14, 2011), found on February 14, 2011 that pharmaceutical sales representatives were "outside sales representatives" under the Fair Labor Standards Act (FLSA) of 1938, 20 U.S.C. section 201 et seq, exempting them from overtime pay. Pharmaceutical Sales Representatives (PSRs) are prohibited from making actual sales of drugs to physicians or patients, and are instead used to promote drugs so that physicians will prescribe them to be purchased from a pharmacy. The PSRs claimed that they were entitled to overtime pay under the FLSA for the time they spent promoting the defendants products outside of normal business hours, arguing that because they did not make sales themselves, they were not outside sales representatives.

The Court, however, reasoned that even though the PSRs did not make actual sales, they were outside sales representatives under the FLSA. The highly regulated nature of the industry prevented the PSRs from making actual sales, but the nature of the work was such that the PSRs were essentially getting commitments from physicians to prescribe drugs, which was analogous to a sale. They were, therefore, exempt from overtime pay under the FLSA as an outside sales representative.

Click below to read the McDonald Hopkins Labor and Employment Alert:

McDonald Hopkins Law Firm Alert; Recent Court of Appeals decision highlights the need to properly define the role of sales representatives

http://www.mcdonaldhopkins.com/alerts/alert.aspx?id=UyU3sCDYT0qr7fRDA_uiFA

For more information, please contact:
James J. Giszczak
248-220-1354
jgiszczak@mcdonaldhopkins.com

Timothy J. Lowe
248-220-1359
tlowe@mcdonaldhopkins.com

About McDonald Hopkins

McDonald Hopkins is a business advisory and advocacy law firm with offices in Chicago, Cleveland, Columbus, Detroit, and West Palm Beach. The firm's comprehensive legal services are provided by teams of specialized attorneys and professionals in areas such as business law, litigation, business restructuring and bankruptcy, estate planning, government affairs, healthcare, intellectual property, labor and employment, and mergers and acquisitions. The president of McDonald Hopkins is Carl J. Grassi. For more information about McDonald Hopkins, visit www.mcdonaldhopkins.com.


'/>"/>
SOURCE McDonald Hopkins
Copyright©2010 PR Newswire.
All rights reserved

Related medicine technology :

1. Bob McDonald Outlines Key Long Term Growth Strategies To P&G Shareholders
2. Precision Therapeutics President and CEO Sean McDonald Recognized as a Leading Business Executive and Recipient of 2010 Pacesetters Award
3. Hopkins Report: Focusing on Family Planning Lessens HIV Impact
4. Peregrine Announces Addition of The Johns Hopkins Hospital as Study Site for Bavituximab Trial in HCV Patients Co-Infected With HIV
5. Orion Genomics Gains Exclusive Worldwide Rights to the IGF2 Gene for Colorectal Cancer Risk Testing Through Licensing Agreement With Johns Hopkins University
6. Duska Therapeutics Licenses Portfolio of Heart Failure Drugs From Duke and Johns Hopkins
7. Johns Hopkins University Researchers to Clinically Assess Rosetta Genomics miRview(TM) Squamous Assay
8. Somanetics Acquires Exclusive Sublicense to Cerebral Autoregulation Monitoring Technology Developed at The Johns Hopkins University
9. Seguro Acquires Worldwide Rights to Johns Hopkins Abdominal Surgery Device
10. Johns Hopkins Medicine Acquires Naviscan PEM Technology for Novel Radiotracer Research
11. Eisai Enters Licensing Agreement with Johns Hopkins Brain Science Institute
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:2/5/2016)... York , February 5, 2016 ... Transparency Market Research report states that the global active ... 2014 and is predicted to reach US$185.9 bn by ... of 6.50% from 2014 to 2020. The title of ... Chemical/Biological, Captive/Contract Manufactured, by Geography, and by Therapeutic Area) ...
(Date:2/5/2016)... , Feb. 5, 2016  Henry Schein, Inc. (NASDAQ: ... products and services to office-based dental, animal health and ... an agreement to acquire a majority ownership interest in ... equipment in Brazil . ... Blumenau, Brazil, Dental Cremer is the dental distribution business of ...
(Date:2/4/2016)... DUBLIN, Ohio , Feb. 4, 2016 ... Pricing Program, or those already participating in the program, ... Guidance, often referred to as the , Mega-Guidance , ... the final guidance is published in September 2016. ... 340B Product and Service Marketing , summarizes the Mega-Guidance,s ...
Breaking Medicine Technology:
(Date:2/5/2016)... (PRWEB) , ... February 05, 2016 , ... ... ranked #3 in the 2015 Best in KLAS: Software & Services for HIT ... annual Best in KLAS report independently ranks vendor performance by healthcare executives, managers ...
(Date:2/5/2016)... ... ... Stuart Bentkover, MD, FACS is thrilled to announce the arrival ... tattoo removal today, Dr. Bentkover is the only doctor in Central Massachusetts to offer ... been approved by the Food and Drug Administration (FDA) as a safe and efficient ...
(Date:2/5/2016)... ... February 05, 2016 , ... In sleep, when the defenses of ... A hallmark feature of patients with eating disorders is significant self-criticism, and consequently these ... and obsessions are regarded as maladaptive means for coping with this unease, but also ...
(Date:2/5/2016)... ... February 05, 2016 , ... On ... Rare Diseases, a continuing medical education (CME) event presented by the Association for ... kind—and a first for ACCORD, whose mission is to provide education, tools, and ...
(Date:2/5/2016)... ... February 05, 2016 , ... –This week, Atascadero water heater company ... tankless water heater. To view the report, click here or see below. ... each has their pros and cons, the type chosen is almost entirely up to ...
Breaking Medicine News(10 mins):