I

103D CONGRESS

1ST SESSION H. R. 1497

To amend title 18, United States Code, to preserve personal privacy with

respect to information contained in prescription drug records.

IN THE HOUSE OF REPRESENTATIVES

MARCH 25, 1993

Mr. STARK introduced the following bill; which was referred to the Committee

on the Judiciary

A BILL

To amend title 18, United States Code, to preserve personal

privacy with respect to information contained in prescription drug records.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Prescription Drug

5 Records Privacy Protection Act of 1993’’.

6 SEC. 2. WRONGFUL DISCLOSURE OF INFORMATION CON7 TAINED IN PRESCRIPTION DRUG RECORDS.

8 (a) IN GENERAL.—Chapter 121 of title 18, United

9 States Code, is amended—
2

HR 1497 IH

1 (1) by redesignating section 2711 as section

2 2712; and

3 (2) by inserting after section 2710 the following

4 new section:

5 ‘‘§ 2711. Wrongful disclosure of information contained

6 in prescription drug records

7 ‘‘(a) IN GENERAL.—Subject to subsection (b), a re8 tailer, physician, or administrator of a health benefit plan

9 who knowingly discloses, to any person, personally identifi10 able information contained in a prescription drug record

11 of an individual shall be liable to such individual for the

12 relief provided in subsection (c).

13 ‘‘(b) EXCEPTIONS.—

14 ‘‘(1) IN GENERAL.—A retailer, physician, or ad15 ministrator of a health benefit plan may disclose

16 personally identifiable information contained in a

17 prescription drug record of an individual—

18 ‘‘(A) to the individual;

19 ‘‘(B) to any person, with the informed,

20 written consent of the individual given at the

21 time the disclosure is sought;

22 ‘‘(C) to a law enforcement agency pursuant

23 to a warrant issued under the Federal Rules of

24 Criminal Procedure, an equivalent State war25 rant, a grand jury subpoena, or a court order;
3

HR 1497 IH

1 ‘‘(D) to a law enforcement agency or a

2 health care agency for the purpose of address3 ing illegal drug diversion or improving prescrib4 ing practices;

5 ‘‘(E) pursuant to a court order, in a civil

6 proceeding upon a showing of compelling need

7 for the information that cannot be accommo8 dated by any other means, if—

9 ‘‘(i) the individual is given reasonable

10 notice, by the person seeking the disclo11 sure, of the court proceeding relevant to

12 the issuance of the court order; and

13 ‘‘(ii) the individual is afforded the op14 portunity to appear and contest the claim

15 of the person seeking the disclosure; or

16 ‘‘(F) to any person involved in the admin17 istration and review of health care services pro18 vided to the individual.

19 ‘‘(2) ADDITIONAL SAFEGUARDS.—

20 ‘‘(A) ORDER ISSUED UNDER PARAGRAPH

21 (1)(C) OR (1)(E).—If an order is granted pursu22 ant to paragraph (1)(C) or (1)(E), the court

23 shall impose appropriate safeguards against un24 authorized disclosure.
4

HR 1497 IH

1 ‘‘(B) COURT ORDER ISSUED UNDER PARA2 GRAPH (1)(C).—Court orders authorizing disclo3 sure under paragraph (1)(C) shall issue only

4 with prior notice to the individual and only if

5 the law enforcement agency shows that there is

6 probable cause to believe that the records or

7 other information sought are relevant to a le8 gitimate law enforcement inquiry. In the case of

9 a State government authority, such a court

10 order shall not issue if prohibited by the law of

11 such State. A court issuing an order pursuant

12 to this section, on a motion made promptly by

13 a retailer, physician, or administrator of a

14 health benefit plan, may quash or modify such

15 order if the information or records requested

16 are unreasonably voluminous in nature or if

17 compliance with such order otherwise would

18 cause an unreasonable burden on such retailer,

19 physician, or administrator of a health benefit

20 plan.

21 ‘‘(c) CIVIL ACTION.—

22 ‘‘(1) IN GENERAL.—Any individual aggrieved

23 by any act of an individual in violation of subsection

24 (a) may bring a civil action in a district court of the

25 United States.
5

HR 1497 IH

1 ‘‘(2) DAMAGES.—The court may award—

2 ‘‘(A) actual damages;

3 ‘‘(B) punitive damages;

4 ‘‘(C) reasonable attorneys’ fees and other

5 litigation costs reasonably incurred; and

6 ‘‘(D) such other preliminary and equitable

7 relief as the court determines to be appropriate.

8 ‘‘(3) LIMITATION.—No action may be brought

9 under paragraph (1) unless such action is begun

10 within 2 years from the date of the act complained

11 of or the date of discovery of such act.

12 ‘‘(d) DEFINITIONS.—For purposes of this section, the

13 following definitions apply:

14 ‘‘(1) HEALTH BENEFIT PLAN.—The term

15 ‘health benefit plan’ means an employee welfare ben16 efit plan providing medical care to participants or

17 beneficiaries directly or through insurance, reim18 bursement, or any other hospital or medical expense

19 incurred policy or certificate, hospital or medical

20 service plan contract, or health maintenance sub21 scriber contract.

22 ‘‘(2) PERSONALLY IDENTIFIABLE INFORMA23 TION.—The term ‘personally identifiable informa24 tion’ means information relating to the diagnosis or

25 treatment of any illness, disability, injury, or condi-
6

HR 1497 IH

1 tion of an individual which discloses the identity of

2 such individual.

3 ‘‘(3) RETAILER.—The term ‘retailer’ means an

4 individual licensed by a State as a pharmacist to

5 compound, dispense, or sell any drug, chemical, poi6 son, or pharmaceutical preparation upon the pre7 scription of a physician, and or one who is engaged

8 in the business, in or affecting interstate or foreign

9 commerce, of providing pharmaceutical products and

10 services. Such term includes an individual providing

11 such services at a hospital.

12 ‘‘(4) PHYSICIAN.—The term ‘physician’ means

13 an individual licensed by a State as a doctor of med14 icine, osteopathy, podiatry, dental surgery, or medi15 cal dentistry to practice medicine and surgery or

16 dentistry, and who is engaged in the business, in or

17 affecting interstate or foreign commerce, of provid18 ing health care services.

19 ‘‘(5) PRESCRIPTION DRUG.—The term ‘pre20 scription drug’ means a drug (as defined in section

21 201(g)(1) of the Federal Food, Drug, and Cosmetic

22 Act) (21 U.S.C. 321(g)(1)) which is subject to regu23 lation under section 503(b) of such Act.’’.
7

HR 1497 IH

1 (b) CLERICAL AMENDMENT.—The table of sections

2 at the beginning of chapter 121 of title 18, United States

3 Code, is amended—

4 (1) in the item relating to section 2711, by

5 striking ‘‘2711’’ and inserting ‘‘2712’’; and

6 (2) by inserting after the item relating to 2710

7 the following new item:

‘‘2711. Wrongful disclosure of information contained in prescription drug

records.’’.

8 (c) EFFECTIVE DATE.—The amendments made by

9 this Act shall take effect on the 180th day following the

10 date of the enactment of this Act.

Æ