(1) With respect to services of participant licensee pharmacists, the service agreement shall require the participant pharmacist to furnish to subscribers the pharmaceutical services and drugs which are, under the subscriber’s contract, to be furnished by participant pharmacists; and his obligation so to furnish such services and drugs as provided for in the subscriber’s contract, shall be a direct obligation of the participant pharmacist to the subscribers as well as to the service corporation.
(2)  Each such service agreement shall further effectively provide in substance that:

Terms Used In Idaho Code 41-3415A

  • Contract: A legal written agreement that becomes binding when signed.
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
(a)  The participant pharmacist shall be compensated for services rendered and drugs furnished to a subscriber in accordance with a schedule of fees contained in the agreement or attached to and made a part of the agreement, and the pharmacist shall not request or receive from the service corporation or the subscriber any compensation for such services and drugs which is not in accord with such schedule. The subscriber may be required by the subscriber’s contract to pay a fixed fee to the participant pharmacist for each prescription as a prerequisite to receiving drugs or services from the participant pharmacist.
(b)  Compensation for services may be prorated and settled under the circumstances and in the manner referred to in section 41-3431, Idaho Code.
(c)  If the participant pharmacist withdraws from the agreement, such withdrawal shall not be effective as to any subscriber’s contract in force on the date of such withdrawal until the termination of such subscriber’s contract or the next following anniversary of such subscriber’s contract, whichever date is the earlier.
(3)  The proposed form of any such service agreement shall be filed with the director and be subject to his approval, as provided in section 41-3419, Idaho Code.