Third-Party Code of Conduct
Ethical standards for our suppliers and distributors.
Our commitment to ethical business practices and the standards we expect from all our business partners, suppliers and distributors worldwide.
Orphalan Code of Business Conduct
Communication to Distributors and Suppliers
Orphalan is an international pharmaceutical company committed to conducting its business in accordance with high ethical standards through its employees and all its business partners.
Some regulations govern healthcare companies, and in particular their interactions with healthcare professionals (HCPs). Other regulations govern companies because of the geographical location of their operations, globally, irrespective of their industry field - such as the US Foreign Corrupt Practices Act, the UK Bribery Act 2010 or the Brazil Clean Companies Act.
In particular, Orphalan abides by all global anti-bribery laws, including the OECD Convention on Combating Bribery of Foreign Public Officials, the UN Convention against Corruption (UNCAC) and other applicable anti-bribery laws (including French Sapin 2 Law, UK Bribery Act 2010, and US Foreign Corrupt Practices Act).
Therefore, we expect that interactions of Orphalan's suppliers and distributors with third parties - in particular government officials and healthcare professionals - will be in line with our standards and rules of honest and ethical business conduct.
I. Definitions
"Government Official" includes employees of government-owned or -controlled companies or facilities, including healthcare professionals employed by such entities. It also includes employees of any government agency or department, political party officials, candidates for political office and officers and employees of public international organisations.
"Corruption" is the solicitation or acceptance of a donation or any advantage in order to perform or refrain from performing an action within the scope of one's duties. Corruption can occur directly or indirectly via a third-party, and can be active (offering the gift) or passive (accepting it).
"Bribe" is anything of value given, directly or indirectly, to improperly or illegally influence a business decision or give Orphalan an unfair advantage. Examples may include cash payments, kickbacks, gifts, entertainment, or donations.
II. Orphalan Ethical Values
Orphalan's interactions with healthcare professionals (HCPs) are based on the following ethical standards and principles, which we expect our Distributors not to contradict when representing Orphalan:
- Orphalan will encourage ethical business practices and socially responsible industry conduct.
- Business must be conducted free from the unfair influence of bribery and corruption. No improper payment must ever be made, directly or indirectly.
- Enduring customer relationships are based on integrity and trust. We seek advantage over competitors through superior products, research and service - never through improper business practices.
- Orphalan's relationships with HCPs are intended to benefit patient care and enhance the practice of medicine.
- Orphalan will not, directly or indirectly, offer or solicit any kind of payment or contribution for the purpose of obtaining, giving, keeping or rewarding business.
- The law forms a foundation for Orphalan's business conduct. We must conduct our business in accordance with the laws of the cities, states and nations where we operate.
- Orphalan expects its employees and business partners to act in a way that conforms to the letter of the law and promotes the spirit of fairness and honesty underlying the laws.
III. Essential Principles Governing Relationships with Healthcare Professionals
Principle of Prohibition
French, UK, US and other national laws impose criminal and civil penalties on pharmaceutical companies that improperly influence any HCP to purchase, order or recommend a healthcare product or service.
These laws also generally prohibit inducement of HCPs through payment in cash or in kind, non-business meals, or entertainment. Monetary penalties for violation of these laws can be substantial for both HCPs and companies.
No Improper Payments
It is contrary to Orphalan's policy to pursue any business that would require employees or business partners to engage in dishonest, unethical or illegal activity. Advantage over competitors should be gained through superior products, never through improper business practices.
We do not directly or indirectly offer or solicit any kind of payments, contributions or other consideration for the purpose of:
- Influencing HCPs, suppliers or governmental entities to purchase or provide products or services
- Obtaining, giving, keeping or rewarding business
IV. Permitted Exceptions
Hospitality, Gifts, Meals and Entertainment
Applicable laws allow some exceptions under very specific conditions. Hospitality may be offered to HCPs for promotional, professional or scientific events, provided it:
- Is "modest and reasonable"¹
- Is related to the purpose of the meeting
- Is not extended to anyone other than the participating HCP
Under no circumstances may a gift of money be given or received.
Summary of hospitality guidelines:
- Event must have legitimate scientific or informational content
- Hospitality must never be conditional on the purchase of our products
- Accommodation and travel expenditures should be modest and reasonable
- Invitations should never be extended to anyone other than the HCP
- Any hotel stay should coincide with the event (not more than 12 hours before and after)
- No expenses other than reasonable meals, travel or accommodation
- Expenses should be pre-paid rather than reimbursed to HCPs wherever possible
- Invitation letters should be sufficiently explanatory
Payment to HCPs, Clinical Studies and Registries
No payment to a HCP without a written contract. Any payment for consulting, proctoring, training or speaking should be covered by an agreement. Compensation must reflect fair market value for the services provided.
No clinical studies or registries launched without Orphalan's prior approval. Our Distributor shall not launch, promote or sponsor any clinical study or registry on Orphalan's products without prior written approval from Orphalan's Clinical and Regulatory Departments.
V. Commitment to Accurate and Complete Financial Reporting
Books and Records
We require full compliance with applicable laws requiring that all accounting books and records be accurately maintained and fully disclose the nature of transactions reflected in them - including quality, safety, personnel records, financial records, customer invoices, expense reimbursements and anything of value provided to physicians, HCPs or governmental officials.
Creation and Retention of Records
All business records and communications should be clear and accurate. When litigation or a government investigation is pending, imminent or reasonably foreseeable, relevant records must not be destroyed until the matter is closed and the Legal Department has confirmed it is appropriate to destroy such documents.
VI. Business Licenses
In some countries, Orphalan products can be sold only after the securing of relevant business licenses with local authorities. Under these licenses, local governments may exclude certain hospitals or types of healthcare institutions and/or certain products in our catalogue. In these cases, Orphalan expects the highest degree of compliance with these rules.
Document Information
Orphalan - Code of Conduct for Business Partners
Updated on June 9, 2022
¹ The term "modest" means of moderate or low value, taking into account regional differences. The term "reasonable" means appropriate to the circumstance, nature and location of the work being performed.