Rule 4729:6-2-05 | Change in description of a distributor of dangerous drugs.
(A) Any change in the ownership, business or trade name, category, or address of a distributor of dangerous drugs requires an application and required fee. The application and required fee shall be submitted within thirty days of any change in the ownership, business or trade name, category, or address.
(B) A change of ownership includes any of the following:
(1) For all distributors of dangerous drugs:
(a) Any business entity change from its original form, as licensed, to a sole proprietorship, partnership, limited liability company, corporation, or any other business entity.
(b) Two wholly owned subsidiaries of a parent company are merged.
(c) A currently licensed drug distributor is purchased or operated by a different business entity than what is listed on the original application, even if the location maintains the original "doing business as" (DBA) and/or responsible person.
(2) For corporations:
(a) Except as provided in paragraph (B)(2)(d) of this rule, a change of controlling interest of ten per cent or more of a licensed corporation's outstanding shares of voting stock.
(b) An existing corporation ceases, and a new corporation or other business entity is formed.
(c) An existing corporation continues and there is a one hundred per cent stock purchase by another corporation or other business entity.
(d) For publicly traded corporations, a routine sale of stock is not a change of ownership.
A publicly traded corporation is a company that has listed itself on at least one public stock exchange or has issued securities and is subject to public reporting requirements.
(3) For partnerships, any partnership change, other than that which was originally licensed.
(a) A partnership change is deemed to have occurred when:
(i) There is an addition of one or more partners in a partnership to which a license is issued.
(ii) The entity is sold, and the sale becomes final.
(b) Transfer of a portion of ownership among existing partners is not a change of ownership, if there is no addition of a partner.
(4) For a limited liability company, any membership change of a limited liability company, other than that which was originally licensed.
(a) A membership change is deemed to have occurred when:
(i) There is an addition of one or more members in a company to which a license is issued.
(ii) The entity is sold, and the sale becomes final.
(b) For limited liability companies, a transfer of a portion of ownership among existing members is not a change of ownership, if there is no addition of a member.
(5) Any other business model change, as determined by the board to be a change of ownership.
(C) If any change of ownership in accordance with paragraph (B) of this rule results in a new or different DBA or a new or different employer identification number (EIN), an application and fee is required.
(D) A change of ownership in accordance with this rule may result in the issuance of a new license.
(E) A change of ownership, as described in paragraph (B) of this rule, of a licensee's parent or holding company which does not exercise direct control of the licensed entity, shall not require an application, fee, or new license number.
(F) A change of address includes the physical relocation of the licensee's operations and location of the drug stock. This shall include a change of suites within an existing building or campus.
(G) A change of address that results from a change within a local government entity or United States postal service (U.S.P.S.) that does not include any physical relocation of the licensee's operations shall not require an application and fee. The licensee shall submit written notification to the board, in a manner determined by the board, indicating the change of address.
Last updated October 1, 2024 at 9:00 AM
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