Policy Statement

It is the policy of Eli Lilly and Company and Dista Products Company to guarantee their products, as of the date of shipment by the Company, to be neither misbranded, nor adulterated within the meaning of the Federal Food, Drug, and Cosmetic Act.

When a lawsuit arises out of the dispensing of a Lilly or Dista product, it is Lilly policy to assume the defense (and judgment, should this become necessary) of the pharmacist or pharmacist's employer if the drug was dispensed on a prescription for the Lilly or Dista product and if the following conditions are met:

• The pharmacist or pharmacist's employer provides prompt written notice of the lawsuit to Lilly and fully cooperates with Lilly in the defense of the suit.
• Lilly has the sole right to defend the suit in the manner it deems appropriate and Lilly shall have the right at its sole discretion to settle the suit.
• The pharmacist has adequate records to determine the manufacturer of the product dispensed.
• There is no evidence of an improper or negligent statement or act by the pharmacist or pharmacist's employer, such as an improper statement relating to safety or effectiveness, improper storage or packaging of the drug, failure to fill the prescription accurately, or improper substitution of a drug. Lilly will expect the pharmacist or pharmacist's employer to assume his or her own defense if evidence of such a statement or act develops.

Lilly policy is the same as that outlined above when the physician has prescribed the drug by generic name alone and the pharmacist has accurately filled the prescription with a Lilly or Dista pharmaceutical product of that generic name.

Lilly policy is also the same as that outlined above when the physician has prescribed a drug product of another manufacturer and the pharmacist has lawfully substituted a Lilly or Dista pharmaceutical product with a generic name identical to the generic name of the prescribed drug product.

Lilly will not assume the defense of a pharmacist or pharmacist's employer when the pharmacist has filled a prescription for a Lilly or Dista product with another manufacturer's product regardless of whether that jurisdiction permits substitution.