October 13, 2004
With flu vaccine in short supply this year, expect to see more charges of price gouging. The state of Kansas is among the first to level such charges, with state Attorney General Phill Kline suing a Florida company for alleged violations of the Kansas Consumer Protection Act.
The suit is the result of an undercover investigation conducted by Attorney General Kline's Consumer Protection and Antitrust Division.
Meds-Stat of Fort Lauderdale, Florida, was named in the suit filed in Shawnee County District Court seeking civil penalties of $10,000 for each violation, and an additional $10,000 for each violation involving elder Kansans. Med-Stat faces two counts of deceptive acts and two counts of unconscionable acts.
"By filing this action we are serving notice that we will act swiftly and aggressively to protect Kansas citizens," Kline said.
The suit alleges that on October 8th, Meds-Stat proposed to deliver and sell a vial of five doses of flu vaccine to a Kansas City, Kansas pharmacy for $900 with the knowledge that the vaccine was to be used in a nursing home. On October 1, the price for the same vial was listed as $85.
