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PROFESSIONAL MARKETING Update Access Pharma signed an agreement Dept of Labor backs reps on OT pay with iMedicor for the THE US DEPARTMENT of qualify for an administrative North American commer- Labor (DOL) filed an amicus exemption either—a second cial launch of MuGard, its brief with a federal appeals provision in the law that would FDA approved mucoad- court in support of Novartis prevent overtime pay—since hesive oral rinse for the sales reps ﬁghting for overtime reps are obligated to adhere to management of oral compensation. a “core message” provided by mucositis and stomatitis DOL filed the brief after a Novartis, such as clinical studies, caused by radiotherapy district court in New York “com- brochures or other scripted sales and/or chemotherapy. mitted legal error” by classifying materials. MuGard is being com- Novartis reps as “outside sales,” While DOL concedes that mercially launched world- a designation exempting them reps do exercise some discre- wide, with initial launches from overtime pay under the tion when it comes to meeting in the United Kingdom, Fair Labor Standards Act. with physicians—specifically Germany, Italy, Norway Sales representatives on a what time of day to visit a phy- and Greece having been detail do not qualify as outside sician and how to best execute previously announced. sales personnel, since they don’t DOL secretary Hilda Solis: OT their presentations, for example make direct sales as deﬁned by pay should be given to reps –“they do not exercise discre- Ariad Healthcare the exemption, according to the tion and independent judgment will be EMD DOL brief. “Although the reps’ duties with respect to matters of signiﬁ- Serono’s “The reps do not sell or take bear some of the indicia of cance,” according to the brief. lead market- orders for Novartis’ drugs; rath- sales…the fact that the reps do Over 2,500 reps working for ing agency er, they provide information to not actually ‘make sales’ con- Novartis in New York, California in Canada target physicians about Novartis’ clusively demonstrates that the and other states comprise the for Multibi- drugs with the goal of persuad- position is not that of an outside plaintiffs in the case. The case onta Probiotic Multivita- ing the physicians to prescribe salesperson,” according to the will be held in the 2nd US Cir- min beginning in 2010. those drugs to their patients,” brief. cuit Court of Appeals. Ariad’s work on Multibi- the brief stated. DOL said the reps don’t
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