PharmaCare US, Inc.
Minimum Advertised Price Policy (MAP Policy)
Effective September 9th, 2022
PharmaCare US, Inc. is hereby adopting the following Minimum Advertised Price Policy (the “MAP Policy”) designed to protect the long-term strength and integrity of its brand, and retailers investment in PharmaCare US, Inc and its products (“Products”), by helping retailers engage in advertising that best conveys to customers the value of PharmaCare US, Inc.’s products.
The MAP Policy applies to all retailers (instore & online) and resellers of Products to maintain an advertised pricing structure. The MAP Policy applies to advertised prices, not the prices at which Products are sold, and each retailer is free to set its actual resale price for any Product independently. The Minimum Advertised Prices for Products are listed in Schedule A of this MAP Policy.
A. The MAP Policy may be adjusted by PharmaCare US, Inc. from time to time, at its sole discretion.
B. The MAP Policy applies to all advertisements of Products over the Internet or similar electronic media including websites, email newsletters, and email solicitations, and in any and all other media, including but not limited to flyers, posters, coupons, mailers, inserts, newspapers, magazines, catalogs, television, radio, and public signage. No such advertisement will represent or imply that any Product may be sold by a retailer, for less than the full Minimum Advertised Prices. The MAP Policy does not apply to solely on premise or in-store advertising that is not distributed to customers.
C. Advertising “bundling” or including a free or discounted product (“Bundle”) (whether made by PharmaCare US, Inc. or another manufacturer) with a Product would violate this MAP Policy and is not permitted if the effective or stated price of the Bundle reduces the advertised price of the Products in the Bundle below the combined Minimum Advertised Price of the Products in the Bundle.
D. For multipack offers the Minimum Advertised Price of the multipack is the quantity of SKU(s) in the multipack multiplied by the respective Minimum Advertised Price of the SKU(s) that comprise said multipack.
E. Any strike-through or other alteration of the Minimum Advertised Price is prohibited.
F. The MAP Policy does not establish maximum advertised prices. All retailers may offer Products at any price in excess of the Minimum Advertised Price. Internet auctions may not display or have reserved bid, “buy it now” or other acceptable prices below the Minimum Advertised Price.
G. The MAP Policy does not in any way limit the ability of any retailer to advertise that “they have the lowest prices” or, they “will meet or beat any competitor’s price,” that consumers should “call for a price” or phrases of similar import as long as the price advertised or listed for Products is not less than Minimum Advertised Price.
H. From time to time, PharmaCare US, Inc. may permit retailers to advertise one or more of the Products covered by this MAP Policy at prices lower than the MAP for a specified period. In such case, PharmaCare US, Inc. will notify its resellers in advance of the details of the limited suspension or modification of this MAP Policy.
I. Including in any advertising for a Product covered by this MAP Policy a gift card, coupon or any other type of discount that would effectively immediately reduce the advertised price of the Products below the Minimum
Advertised Price then in effect for such Product will constitute a violation of this MAP Policy. Advertising that includes a gift card, coupon or any other type of discount on future purchases (regarding of whether or not for Products) shall be evaluated under the same guidelines as described in Section C regarding Bundling.
J. PharmaCare US, Inc. sales representatives are not permitted to make any agreement with any retailer with respect to the advertising or pricing of PharmaCare US, Inc. Products, including without limitation, modifications to this MAP Policy.
K. PharmaCare US, Inc. monitors the advertised prices of retailers, either directly or via the use of a third-party agency or tool. Retailers are expected to provide reasonable cooperation in any PharmaCare US, Inc. investigation regarding possible MAP Policy violations. Failing to cooperate with a PharmaCare US, Inc. MAP Policy investigation is a violation of this MAP Policy.
L. The MAP Policy will be enforced by PharmaCare US, Inc. in its sole discretion. Retailers have no right to enforce the MAP Policy. In the case of a violation of the MAP Policy, PharmaCare US, Inc. has the right to discontinue doing business with the retailer, including canceling pending orders, restricting future orders, or suspending retailer’s account. In addition, PharmaCare US, Inc. expressly reserves all of its legal rights and remedies with respect to such violation.
MAP POLICY PRODUCT PRICING MATRIX