Complaint Determination Confirms No Gift Cards
21st Apr 17
New determinations of ADIA Code of Practice complaints have confirmed it's not possible to provide healthcare professionals with gift cards. New guidance is also available on the provision of other gifts with dental product purchases.
Key Issues For The Dental Industry —
At the request of the Australian Government, members of the Australian Dental Industry Association (ADIA) approved a code of practice that has as its primary objective the intent of ensuring that decisions on management (including treatment options) for dental and oral health needs are based on sound clinical evidence, not driven by incentives or other influences. Two recent complaint determinations have provided greater guidance on what this means for suppliers of dental products.
From the outset, the practical implications of the ADIA Code of Practice was that if a business conducted a promotional activity encourages a healthcare professional to purchase a particular type or brand of product (that is used to diagnose or treat a patient) that promotional activity is inconsistent with the principles set out in the ADIA Code of Practice. The two following determinations and reinforced this outcome.
Independent Dental Supplies —
The ADIA-CCC Code Complaints Committee considered a complaint that when a dental professional purchases small equipment from Independent Dental Supplies they were eligible to receive a discount in the form of other dental goods (i.e. a medical device and not consumer goods).
It was determined that this activity is permissible with provisions under the ADIA Code of Practice and could continue.
Independent Dental Supplies —
The ADIA-CCC Code Complaints Committee determined that Independent Dental Supplies had breached the ADIA Code of Practice by offering gift cards to dental professionals in connection with the sale of dental products, and that the value of this gift card rose proportionately with the value of the dental product purchase.
Independent Dental Supplies were instructed to discontinue promotional activities of this nature.
SDI Limited —
The ADIA-CCC Code Complaint Committee determined that SDI Limited had breached the ADIA Code of Practice by offering healthcare professionals electronic goods in the form of Apple computing products including an iWatch, iPhone, iPad or Macbook with the value of the good/s rising in a manner that was commensurate with the value of the dental products purchase.
SDI Limited was instructed to discontinue promotional activities of this nature.
Henry Schein Halas —
The ADIA-CCC Code Complaints Committee determined that Henry Schien Halas had breached the ADIA Code of Practice by offering healthcare professionals white goods including an a juicer, cooker, air fryer and air purifier in connection with the supply of selected dental products.
Henry Schein Halas were instructed to discontinue promotional activities of this nature.
Henry Schein Halas —
The ADIA-CCC Code Complaints Committee determined that Henry Schien Halas' promotional activities that offered healthcare professionals white goods, home entertainment products and computing products with the value of the gift rising in a manner that was commensurate with amount of money spent (irrespective of the product purchased).
As this activity was considered to be consistent with the ADIA Code of Practice not action was taken and the promotional activity could continue.
These determinations have confirmed the absolute principle that gift cards can't be provided and that it is possible to provide gifts in circumstances where they are provided irrespective of the type of product purchased, but not when offered in connection with products produced by one manufacturer. Collectively these reaffirm the intent of the ADIA Code of Practice that promotional activities undertaken by the dental industry should not inappropriately influence a healthcare professional's decision to select one manufacturers' product at the expense of another.
Member Engagement —
The ADIA Code of Practice is endorsed by the entire membership at a general meeting with responsibility for monitoring the effectiveness and compliance resting with the ADIA-CAC Code Administration Committee. ADIA members join stakeholders from the dental profession and patient representatives in determining complaints by serving on the ADIA-CCC Code Complaints Committee.
Further Information —
For further information on the ADIA Code of Practice send an email to firstname.lastname@example.org or 1300 943 094. To keep up to date follow ADIA on Facebook at www.facebook.com/dental.industry or subscribe to the Twitter feed @AusDental.
Currency Of Information & Disclaimer —
This update was issued on 21 April 2017 and please note that changes in circumstances after the publication of material or information may impact upon its accuracy and also change regulatory compliance obligations. The statements, regulatory and technical information contained herein are believed to be accurate and are provided for information purposes only. Readers are responsible for assessing its relevance and verifying the accuracy of the content. To the fullest extent permitted by law, ADIA will not be liable for any loss, damage, cost or expense incurred in relation to or arising as a result of relying on the information presented here.
This information is available for your use under a Creative Commons Attribution 3.0 Australia licence, with the exception of the ADIA logo, other images and where otherwise stated.
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