Pharmacies Barred From Names Such as ‘Warehouse-Style’ That Could Encourage Drug Misuse Under Amended Pharmacy Act

Pharmacies will no longer be allowed to use names that could encourage the misuse of medicines as their distinctive names.

The Ministry of Health and Welfare said the partial amendment to the Pharmacy Act was passed at a plenary session of the 438th National Assembly (extraordinary session) on the 26th.

The amendment bars pharmacy owners from using as a pharmacy’s distinctive name any wording that could encourage excessive drug consumption and lead to misuse. The specific prohibited wording will be set by a Ministry of Health and Welfare ordinance.

The measure is intended to prevent pharmacies’ functions from being distorted and consumers from viewing medicines as consumer goods, which could lead them to choose a pharmacy based solely on price rather than their health status or the services provided by a pharmacist.

The amendment elevates to law restrictions on pharmacy names that were previously set out in the Enforcement Rule of the Pharmacy Act.

Previously, restricted wording included names that could be mistaken for the business premises of a pharmaceutical wholesaler or a marketing authorization holder; wording suggesting that a pharmacy specializes in particular medicines or medicines related to specific diseases; and wording that could be confused with a medical institution or resembles a disease name.

The amendment adds wording that could distort the function of a pharmacy, mislead consumers, or encourage excessive drug consumption and lead to misuse.

The amendment to the Pharmacy Act will take effect three months after promulgation, following its submission to and approval by the Cabinet.

The Ministry of Health and Welfare will prepare subordinate regulations before the law takes effect and plans to provide guidance through mayors and county and district heads so that people seeking to register a pharmacy are aware of the relevant provisions. Pharmacy owners already using prohibited wording will have a six-month grace period from the law’s effective date.

Health and Welfare Minister Jeong Eun-kyeong said, "This amendment to the Pharmacy Act is significant because it establishes safeguards to prevent social problems, including concerns about drug misuse associated with the recent emergence of warehouse-style pharmacies." She added, "We will continue working to create a sound pharmacy sales environment that is not excessively influenced by commercial factors in how people buy medicines and choose which pharmacies to visit."