(Direct Newsline)—Albertsons, Inc., a supermarket chain with stores in 31 states, has been hit with a lawsuit by the Privacy Rights Clearinghouse (PRC) for allegedly releasing pharmacy records to direct mail and telemarketing companies. Also named in the case were several pharmaceutical companies.
Originally filed in May, the suit was amended last week to identify the names of the pharmaceutical firms. They include: Aventis, Sherring-Plough, AstraZeneca, TAP Pharmaceutical Products, Eli Lilly, Norvatis, Wyeth, Procter & Gamble, Teva Pharmaceutical, GlaxoSmithKline, Merck, Bristol-Meyers Squibb, Pfizer, Gladerma and Otsuka America Pharmaceuticals.
The suit accuses Boise, ID-based Albertsons of receiving $3 to $4.50 per inquiry letter and $12 to $15 per telemarketing call from the pharmaceutical houses. The supermarket’s customers have not given consent to have their information used for target marketing, in violation of California law, according to the PRC.
Albertsons has denied the charges.
“We highly value and respect the privacy of our pharmacy customers and do not sell, nor have we ever sold their private information,” said a spokesperson in a statement. “We consider the allegations in this complaint to be false and totally without merit and we will vigorously defend ourselves against them.”
Albertsons operates more than 1,500 combination supermarket and pharmacies and more than 700 drug stores.
According to the PRC, Albertsons’ pharmacy customers receive direct mail and telemarketing calls based on confidential medical information provided to the pharmacy solely to fill prescriptions. Although the solicitations appear to come from the pharmacy they are actually generated for the pharmaceutical companies’ especially designed marketing database, the PRC continues.
“Albertsons uses its letterhead to send mail to its own customers paid for by the pharmaceutical companies,” said Beth Givens, director of the San Diego-based PRC. “We believe that under California law consumers should opt-in to receive these promotions, rather than have to opt-out.”
The lawsuit alleges that in California and other states “reminder” communications are deceptive and false because they conceal the true motive of raising increased revenue for the drug companies and pharmacies involved.
The case is on file with the California Superior Court of San Diego.