Title
FDA Rules on Drugstore Licensing
Law
Fda Circular No. 2014-025
Decision Date
Nov 21, 2014
The FDA Circular No. 2014-025 establishes updated guidelines for the licensing of drugstores and pharmacies, streamlining application processes, enhancing transparency through electronic transactions, and outlining compliance requirements for safety and quality in drug distribution.

Law Summary

License to Operate (LTO) Application Documentary Requirements

  • Completed, notarized application form signed by pharmacist and owner/authorized representative
  • Proof of Business Name Registration:
    • Single proprietorship: DTI registration certificate
    • Corporation/partnership: SEC registration and Articles of Incorporation
    • Cooperative: Cooperative Development Authority certificate and by-laws
    • Government-owned/controlled corporations: legal creation document
  • Credentials of Pharmacist-in-Charge:
    • Valid PRC ID
    • Certificate of attendance at FDA licensing seminar
    • Resignation letter from previous employer if applicable
  • Pharmacy assistants' Certificate of Training if they act in pharmacist's absence
  • Submission of a general Risk Management Plan outlining risk identification, prevention, and management including pharmacovigilance
  • Location plan sketch with clear landmarks and GPS coordinates
  • Photo of establishment with signage matching business name
  • Proof of payment for application
  • Self-Assessment Toolkit as compliance worksheet

Evaluation and Inspection Procedures

  • Initial review by FDA Regional Field Offices for administrative and technical compliance
  • Possible requirement of additional supporting documents
  • Routine post-licensing inspections to ensure adherence to Good Distribution and Storage Practices
  • Inspections triggered by violations, adverse drug events, or quality concerns
  • Verification of additional documents such as franchise agreements, distribution records, SOPs, and IEC materials
  • Compliance report issued after inspection to determine actions on LTO applications
  • Cold-chain management required for temperature-sensitive products

Variations to License to Operate

  • Major Variations:
    • Change of ownership
    • Transfer of establishment location
    • Addition of new activities
  • Minor Variations requiring prior approval:
    • Establishment expansion
    • Change of business name
    • Address zonal changes
  • Minor Variations requiring notification:
    • Change of pharmacist or pharmacy assistant
    • Deletion of an activity
  • All variations require notification to FDA, additional types can be regulated
  • Fees apply except for location transfer which pays initial 2-year license fee
  • Minor variation applicants may continue business during application processing

Activities Requiring Prior FDA Approval

  • Online ordering and delivery of drugs
  • Sterile and non-sterile complex compounding
  • Mobile pharmacies
  • Other newly identified activities
  • Authorization may be secured during initial or variation application

Licensing Requirements for Institutional Pharmacies

  • Non-drug establishments that procure drugs for employee dispensing
  • Drug establishments dispensing drugs not registered under their name

Responsibilities of Pharmacist and Owner

  • Joint responsibility for drug safety, efficacy, and quality
  • Ensure compliance with Good Storage, Distribution, Dispensing, and Pharmacy Practices
  • Promote rational drug use; dispense prescription drugs only on valid prescriptions
  • Provide patient counseling
  • Monitor inventory and expiry dates
  • Manage and report adverse drug reactions to FDA
  • Cooperate during product recalls
  • Keep abreast of FDA regulations and advisories
  • Ensure only FDA-registered drugs from licensed suppliers are sold
  • Develop and maintain Standard Operating Procedures to formalize responsibilities

Role of Other Implementing Offices

  • FDA and Regional Offices may enlist assistance from government bodies
  • Local Government Units (LGUs) monitor compliance of licensed establishments
  • LGUs must report violations inconsistent with FDA rules to FDA for action

Transition Provisions

  • Existing licensed establishments must submit Risk Management Plan, GPS Coordinates, and credentials of pharmacists and pharmacy assistants upon license renewal

Repealing and Separability Clauses

  • Previous inconsistent FDA issuances are repealed or revoked
  • If any provision is invalidated, others remain effective

Effectivity

  • Circular takes effect immediately upon approval and signature by FDA Director General

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