Welfare and Institutions Code section 14124.44

Patient Protection Requirements Imposed on Prescription Drug Price Manipulators
Notwithstanding any other provision of law, on and after January 1, 2025, a prescription drug price manipulator shall only be eligible for tax-exempt status in this state or to be licensed to operate as a pharmacy, a health care service plan, or a clinic in this state if it complies with all of the following requirements:

(a)

In the prior calendar year, the prescription drug price manipulator spent at least 98 percent of the net revenues it generated in California from participation in the discount prescription drug program on direct patient care.

(b)

In the prior calendar year, the prescription drug price manipulator was not engaged in any unprofessional conduct, dishonest dealing, or conduct inimical to the public health, welfare, or safety of the people of the State of California.

Source: Section 14124.44, https://leginfo.­legislature.­ca.­gov/faces/codes_displaySection.­xhtml?lawCode=WIC§ionNum=14124.­44.­ (updated Dec. 18, 2024; accessed Jul. 28, 2025).

Green check means up to date. Up to date

Verified:
Jul. 28, 2025

§ 14124.44's source at ca​.gov