Today's Law As Amended

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AB-1278 Physicians and surgeons: payment or transfer of value: disclosure: notice.(2021-2022)

As Amends the Law Today


 Article 6.5 (commencing with Section 660) is added to Chapter 1 of Division 2 of the Business and Professions Code, to read:

Article  6.5. Open Payments Database Notices
 For purposes of this article, all of the following definitions apply:
(a) “Drug or device company” means a manufacturer, developer, or distributor of pharmaceutical drugs or any device used in the context of the physician and surgeon’s or osteopathic physician and surgeon’s practice.
(b) “Health care employer” means an employer that provides health care services and that employs a physician and surgeon or an osteopathic physician and surgeon.
(c) “Open payments database” means the database created to allow the public to search for data provided pursuant to Section 1320a-7h of Title 42 of the United States Code and that is maintained by the federal Centers for Medicare and Medicaid Services.
(d) “Physician and surgeon” includes a physician and surgeon licensed pursuant to the Medical Practice Act (Chapter 5 (commencing with Section 2000)) or an osteopathic physician and surgeon licensed by the Osteopathic Medical Board of California under the Osteopathic Act.
 (a) A physician and surgeon who receives a payment or transfer of value from a drug or device company shall disclose the source of the payment or transfer of value in writing to each patient or patient representative prior to the intended use or prescription of a device or drug manufactured or distributed by the company. The disclosure shall cover any payment or transfer of value received on or after January 1, 2014. The written disclosure shall include a signature from the patient or patient representative and the date of signature.
(b) The written disclosure pursuant to subdivision (a) shall contain the following text:
“If you would like further details on the information provided above you may discuss with Dr. ____ and/or visit, a federal tool used to search payments made by drug and device companies to physicians and teaching hospitals.”
(c) A physician and surgeon shall include in the written or electronic records for the patient a record of disclosure pursuant to this section.
(d) A physician and surgeon shall give to the patient or patient representative a copy of the signed and dated disclosure.
 (a) (1) Notwithstanding any law, except as provided in subdivision (c), a physician and surgeon shall post in each location where the physician and surgeon practices, in an area that is likely to be seen by all persons who enter the office, an open payments database notice.
(2) The open payments database notice described in paragraph (1) shall include both of the following:
(A) An internet website link to the open payments database.
(B) The following text:
“For informational purposes only, a link to the federal Centers for Medicare and Medicaid Services (CMS) Open Payments web page is provided here. The federal Physician Payments Sunshine Act requires that detailed information about payment and other payments of value worth over ten dollars ($10) from manufacturers of drugs, medical devices, and biologics to physicians and teaching hospitals be made available to the public.”
(b) Except as provided in subdivision (c), a physician and surgeon shall conspicuously post the open payments database notice described in subdivision (a) on the internet website used for the physician and surgeon’s practice.
(c) Notwithstanding subdivisions (a) and (b), if a physician and surgeon subject to this section is employed by a health care employer, the health care employer shall be responsible for meeting the requirements of this section.
(d) A posting required by this section may be placed within the same notice posted by the physician and surgeon in accordance with Section 138 or 2026.
 A violation of this article shall constitute unprofessional conduct.
 This article does not apply to a physician and surgeon working in a hospital emergency room.