15
Fri, Nov
83 New Articles

Life Sciences Bulletin: CJEU Ruling on the Online Sale of OTC Medicines May Impact Hungarian Market

Hungary
Tools
Typography
  • Smaller Small Medium Big Bigger
  • Default Helvetica Segoe Georgia Times

The recent judgement of the Court of Justice of the European Union (“CJEU”) on the sale of over-the-counter (OTC) medicinal products online (C-606/21, decision published on 29.02.2024) may have a direct impact on the existing Hungarian legislation and established market practice.

Case summary

The Union des Groupements de pharmaciens d’officine (UDGPO) challenged the legality of the services provided by Doctipharma, an online platform provider facilitating the sale of OTC medicines from pharmacy websites liked to its platform. The Union argued that by providing a service through its platform, Doctipharma was involved in the online sale of medicinal products and violated French legislation prohibiting the sale of medicinal products by unqualified persons.

The Court clarified that Doctipharma’s service constituted an “information society service” under EU law, connecting dispensing pharmacists and potential patients through the service of selling OTC medicines. 

The Court differentiated two scenarios:

  1. it concluded that a Member State can prohibit the provision of services, if a service provider lacking the pharmacist’s qualification, intends to sell OTC medicines on their own,
  2. it concluded that if the service provider merely facilitated connections between sellers and customers, without engaging in direct sales, Member States cannot prohibit the provision of services even if the service provider lacks the pharmacist’s qualification.

The Court finally concluded that Member States have the authority to regulate who can sell OTC medicines online but should also allow online sales through a third party that solely facilitates connections between sellers and customers.

Online sales in Hungary

In Hungary, only pharmacies are legally allowed to conduct online sales of OTC medicines, and are required to inform the Hungarian pharmaceutical authority of their website prior to commencing operations. 

Online platform providers can facilitate the sale of OTC medicines, but due to the recently tightened rules involving home delivery, they can only sell the aforementioned products; customers need to pick-up their orders at the pharmacy. In practice, this means that the sale of these products by online platform providers is rather limited, if it exists at all. Therefore, the question is whether the rules regarding home delivery in Hungary can be considered compatible with the EU law, in light of the CJEU’s decision.

By Miriam Fuchs, Senior Associate, and Lilla Lantai, Associate, Wolf Theiss

Wolf Theiss at a Glance

With over 360 lawyers in 13 countries, over 80% of the firm’s work involves cross-border representation of international clients. We have concentrated our energies on a unique part of the world: the complex, fast-developing markets of the CEE/SEE region. Through our international network of offices, we work closely with our clients to develop innovate solutions that integrate legal, financial, and business know-how.

Wolf Theiss provides fully integrated corporate services in mergers and acquisitions, private equity, real estate, banking and finance, tax and insurance, employment law, competition law, energy law, privatisation, restructuring, public procurement and litigation. At Wolf Theiss, we measure our success by the success of our clients. We align our goals with yours to ensure that your needs are being met in even the most complex of cross-border matters. This means that we know how to listen to you and help you use the assets you already have while finding opportunities.

Firm's website:

Wolf Theiss – Leading Lawyers in CEE/SEE