Pharmacy Daily | Priceline class action lodged in court

LONG-RUNNING threats of imminent class action by several Priceline Pharmacy franchisees came to fruition yesterday, with parent company Australian Pharmaceutical Industries (API) confirming a case had been lodged in the Victorian Supreme Court (PD breaking news).

The company said it would "vigorously defend the action," which was first flagged almost 18 months ago by Sydney law firm Levitt Robinson (PD 06 May 2020).

A website operated by Class PR, a public relations company owned by persons related to the senior partner of Levitt Robinson, has urged other Priceline franchisees to opt into the claim, which is for "restitutionary damages" in the case API has found to have been "unjustly enriched".

Levitt Robinson says the action aims to "add value to the investment made by current franchisees," claiming the current agreements contain provisions that may breach the current legislative framework which governs pharmacies in various states.

API issued a statement in response to the lodgement yesterday, saying that it "remains focused on supporting Priceline Pharmacy franchisees through these difficult COVID-19 times, so that they can fully play their role in the distribution of vital medicines and the COVID-19 vaccine and serve their communities during and beyond the pandemic".

"GIven the matters alleged by the plaintiffs are now before a Court, it would be inappropriate for API to comment further," the firm said.

It's understood there are currently more than 365 Priceline franchisees across the country.

It's unclear how many are participating in the class action, with the lawyer leading the charge, Stewart Levitt, claiming earlier this year that at least 30 current and former franchisees would be involved (PD 16 Jul).

The lead plaintiff is Chris Lemon, who in Jul was reported in the Australian Financial Review as being pursued by API in a civil action over $2.1 million owed following the sale of two Priceline Pharmacy stores in 2019.