Queensland Bills Explanatory Notes Queensland Bills Explanatory Notes[Index] [Search] [Download] [Bill] [Help]
1
Health Legislation Amendment Bill 2004
HEALTH LEGISLATION AMENDMENT
BILL 2004
EXPLANATORY NOTES
FOR
AMENDMENTS TO BE MOVED DURING
CONSIDERATION IN DETAIL BY THE
HONOURABLE GORDON NUTTALL MP,
MINISTER FOR HEALTH
Title of the Bill
Health Legislation Amendment Bill 2004
Objectives of the Amendments
The Health Legislation Amendment Bill 2004 (the Bill) is to be amended to
amend the Pharmacists Registration Act 2001 (the Pharmacists Act), to
ensure that pharmacists and other persons who own a pharmacy business
may enter into commercial arrangements for the business without undue or
improper interference from other parties.
The amendments also:
· ensure that only pharmacists may have a controlling interest in
corporations owning pharmacy businesses;
· clarify the meaning of a provision so that its policy intent is
achieved; and
· simplify the Bill's provisions about pharmacists' relatives who
may have an interest in a corporation owning a pharmacy
business.
2
Health Legislation Amendment Bill 2004
Achievement of the Objectives
The amendments insert a provision that makes pharmacy business
arrangements void if they give persons, other than the owner of the
business, the right to control how the business is carried on, or to receive
consideration that varies according to the profits of the business, or require
goods or services for the business to be obtained from a stated person. The
provision reinstates a modified version of section 238(6) of the Pharmacists
Act that was omitted under the Bill. This will remove doubt about whether
the Pharmacists Act adequately covers all circumstances where a third
party improperly interferes with a pharmacist's control over the conduct of
a pharmacy business.
The amendments also:
· prevent relatives of a pharmacist from being majority shareholders or
holding voting shares in a corporation owning a pharmacy business;
· delete step-children from the category of pharmacists' relatives
allowed to be directors or shareholders of a corporation owning a
pharmacy business; and
· substitute an offence provision in a redrafted form that is consistent
with its policy intent.
Consultation
The Pharmacy Guild of Australia was consulted about the amendments and
supports the amendments.
NOTES ON PROVISIONS
Amendment 1 amends clause 46 to omit "step-child" from the definition of
"relative" in section 139A of the Pharmacists Act. This removes the need
for undue complexity in the Act by having to provide how the interests of a
pharmacist's step-child are to be dealt with if the pharmacist divorces.
Amendment 2 amends clause 46 by replacing section 139B(b) of the
Pharmacists Act with new section 139B(b) and (ba). Under new section
139B(ba), only registrants (pharmacists) are allowed to be majority
3
Health Legislation Amendment Bill 2004
shareholders, or hold voting shares, in a corporation that owns a pharmacy
business.
Amendment 3 amends clause 46 by replacing section 139H(1) and (2) of
the Pharmacists Act with redrafted provisions to clarify that a registrant
must not own, or be a director of, or shareholder in, a corporation that owns
more than 5 pharmacy businesses.
Amendment 4 amends clause 46 by inserting new section 139I in the
Pharmacists Act. The new provision specifies that a bill of sale, mortgage,
lease, franchise, agency or other service or commercial arrangement for a
pharmacy business is void to the extent it:
· gives a person, other than the owner of the business, the right to
control in whole or in part the way the business is carried on, or
to receive consideration that varies according to the profits or
takings of the business; or
· requires goods or services for the business to be obtained from a
stated person or body.
© State of Queensland 2005