QUESTION
Hello, If a large pharmacy corparation buys out a small mom and pop pharmacy and all their files. Can another party (with no connection of seller) open up the same exact buisness next door on the notion of acquireing the same cliental (files). The customers would only be acquired due to close promiximty to old location. In other words the new pharmacy knows the old one is selling and is posting up rigth along side of it. Is this illegal ?Even if they hire teh same eomployees as the old pharmacy had. And perhaps even named it similar. i dont see it breaking any pharmacy board rules and regulations. But as far as avoiding corporate scrunity and big time lawyers i dont know.. Thank you for your time
Asked on Mar 09th, 2011 on Business Law - New York
More details to this question:
Hello,
If a large pharmacy corparation buys out a small mom and pop pharmacy and all their files. Can another party (with no connection of seller) open up the same exact buisness next door on the notion of acquireing the same cliental (files). The customers would only be acquired due to close promiximty to old location. In other words the new pharmacy knows the old one is selling and is posting up rigth along side of it. Is this illegal ?Even if they hire teh same eomployees as the old pharmacy had. And perhaps even named it similar. i dont see it breaking any pharmacy board rules and regulations. But as far as avoiding corporate scrunity and big time lawyers i dont know..
Thank you for your time
1 ANSWER
Michael Stolzar
I am not aware of any legal rules that would bar a competing pharmacy from opening up next door unless it violated lease provisions or someone affiliated with the pharmacy that was sold was violating a provision of that agreement. Also, did the new pharmacy go through and comply with any and all local site plan requirements? It might be worth checking that out.
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Answered on Jun 19th, 2012 at 10:18 AM