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CVS to pay $875,000 in settlement over expired product sales


Published:
Thursday, November 12, 2009 2:14 AM EST
With staff reports

The New York state Attorney General’s Office has reached an $875,000 settlement with CVS Pharmacy Inc. to end its sale of expired products — including over-the-counter drugs, baby formula, milk, and eggs — at stores across New York state.

The investigation began in March of 2008 and included sending undercover investigators into pharmacies across the state. The report found that 25 CVS stores and 27 Rite Aid stores in the Hudson Valley were allegedly selling expired products.

According to the report, undercover investigators were able to purchase multiple packages of CVS brand non-drowsy Cold Relief and one package of CVS Infant Pain Relief that had expired from the CVS store at 160 Fairview Ave. in Greenport.


The Register-Star discovered out of date packages of CVS brand Nighttime Cold and Flu Formula at the same CVS location. These products had expired in March and were still on the shelves in July.

“New Yorkers should not have to worry that their neighborhood pharmacy is selling expired over-the-counter drugs that may be harmful to themselves or their families,” Attorney General Cuomo said Tuesday. “Today’s settlement with CVS and our past settlement with Rite Aid — which total approximately $2 million — send the message that companies have a responsibility to put the safety of their customers ahead of boosting their profits.”

In northern Dutchess County, two CVS stores — one in Rhinebeck and one in Red Hook — were found to be selling expired products as well.

The Red Hook CVS store, located at 23 N. Broadway St., was cited for selling expired CVS brand infant ibuprofen.

The Rhinebeck CVS at 48 E. Market St. was caught selling expired Lamisil, an oral anti-fungal medication used to treat fungal nail disease.

The settlement concludes the lawsuit previously filed by the Attorney General’s Office in New York Supreme Court against CVS for its pervasive sales of expired products and its breach of a prior settlement in which it agreed to take measures to end such sales.


CVS has agreed to pay $875,000 in penalties, costs, and fees.

According to the settlement agreement, CVS will refrain from selling expired products, commit to specific policies and procedures designed to prevent the sale of expired products, obtain approval from the Attorney General before making material changes to such policies and procedures, and train CVS employees in identifying and removing expired products from store shelves. 

 Any CVS store that fails compliance checks will pay a penalty of $2,500 per store. The settlement also requires CVS to post notices reminding customers to check the expiration and “sell by” dates of over-the-counter drugs, infant formula, milk and eggs in the aisles in which these products are sold. 

A statement from the Attorney General’s Office stated consumers who purchase and use expired over-the-counter drugs, infant formula, milk and eggs may suffer serious, even life-threatening consequences.

Once an over-the-counter drug has passed its expiration date, there is no assurance that it is safe to the consumer or effective for its intended uses.

Infants and children are particularly susceptible to the health risks from using expired products, especially expired infant formula.

The case was handled by Assistant Attorneys General Mary Alestra and Laura J. Levine, under the supervision of Consumer Frauds and Protection Bureau Chief Joy Feigenbaum and Deputy Attorney General for Economic Justice Michael Berlin.



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