Legal Question in Business Law in Massachusetts

Re: Hiring

OK - I get to pretend I'm in law school again (I cringe at the prospect!)

Larry's going to need a good attorney. Let's stretch on all the possibilities, shall we...

1. Is Larry a pharmacist? Most states will have licensure requirements for a drug store...if Larry just opens a drug store he will have some issues.

2. Roy's high school chem grades aside, there will be an issue with an unlicensed invidiual acting as a pharmacist - liability will be with both with Roy and Larry.

3. Depending on how little Larry pays Roy, Larry might also have some wage and tax issues if he pays Roy below minimum wage or under the table.

4. Larry establishes a sole proprietorship but represents it as "Incorporated" - most likely in violation of the corporations law for the state.

5. Additionally Larry has been deceptive to the public as he is holding himself out as a corporation; further he is holding himself out as a pharmacy, and he may even have some problems with "Best." Sounds like some nice fraud issues here. Also if Larry and Roy are conspiring together on this little affair maybe there is a RICO claim in their future. And it will be interesting to know where they got the drugs - betcha there is some quetionable interstate commerce issues here.

6. As a sole proprietership, Larry is also going to be invidiual liable for any of the stuff that comes down as a result of this - so if there is a Mrs. Larry - she's not going to be happy - hope there's a homestead in place.

7. Since these are issues regarding the handling of perspctription drugs - Ole' Lar is most likely facing civil and criminal penalities.

8. Hope none of the customer's get hurt - we are talking some serious penalities - maybe even a high profile murder charge!

How'd I do?

Re: Hiring

Larry abnd Roy have committed a crime by practicing pharmacy without a license and/or allowng a non-pharmacist to practice pharmacy. They will have violated a number of controlled substance laws and as such likely be criminally prosecuted.

This does not even begin to deal with civil and professional liability. Also insurance fraud and medicaid fraud.

In order to operate a pharmacy, that is fill prescriptions you must have a license. All those acting as a pharmacist must have a license.