Pharmacist Act Violation Lawyer | Understanding the criminal and administrative tracks together
Summary
The Pharmacist Act (약사법) regulates who may dispense medicine, how pharmacies may be operated, and how drugs may be sold or advertised. A violation - such as selling prescription drugs without authorization, letting a non-pharmacist run a pharmacy, or illegal online drug sales - can trigger a criminal investigation for the underlying offense and, separately, an administrative sanction against the pharmacist's license or the pharmacy's business registration. Because these two tracks run on different standards of proof and different timelines, a case that looks minor in criminal terms can still result in a lengthy suspension or revocation of the license to practice.
Pharmacist Act Violation | Why the same conduct triggers two separate proceedings
Most Pharmacist Act cases involve both a criminal case and an administrative case, and it is important to understand that a favorable outcome in one does not automatically carry over to the other.
Criminal liability under the Act
The Pharmacist Act criminalizes acts such as dispensing or selling pharmaceuticals without a pharmacist license, allowing an unlicensed person to operate a pharmacy under your name, and unauthorized compounding or repackaging of drugs (약사법 제93조, 제95조). Penalties can include imprisonment or a fine depending on the specific provision violated. Prosecutors decide whether to indict, issue a summary order, or close the case, and this decision is separate from what the health authority later does.
Administrative sanctions run independently
The Minister of Health and Welfare or the relevant mayor/governor can suspend a pharmacist's license or a pharmacy's business registration based on the same underlying facts, even before the criminal case concludes (약사법 제79조, 제80조). Because the administrative authority applies its own fact-finding process, a criminal acquittal or non-indictment decision does not automatically prevent a suspension - the two processes must generally be addressed separately.
Why timing matters
An administrative disposition can take effect while a criminal appeal is still pending, and a suspension that runs its course before the criminal case is resolved cannot always be reversed later. Responding early to the administrative notice - not just the criminal summons - is often what determines whether the pharmacist can keep operating during the investigation.
Pharmacist Act Violation | The charges that come up most often in practice
The Pharmacist Act covers a wide range of conduct, but a small number of fact patterns account for most of the cases we see.
Unlicensed operation and "nominal lending" (사무장약사)
It is illegal for a non-pharmacist to open or operate a pharmacy using a licensed pharmacist's name, and it is equally illegal for a pharmacist to lend their license for that purpose (약사법 제20조, 제93조). These cases are often triggered by insurance fraud investigations or tax audits that uncover who actually controls the pharmacy's finances, and the pharmacist whose name is on the license can face criminal liability even if they were not the one managing day-to-day operations.
Sale of prescription drugs without a prescription
Dispensing prescription-only medicine without a valid prescription, or selling in quantities inconsistent with a prescription, is a frequent basis for both criminal charges and administrative action (약사법 제23조, 제44조). The specific drug involved matters: cases involving narcotics or psychotropic substances can also trigger separate liability under the Narcotics Control Act, which is typically treated as an aggravating factor.
Illegal online or delivery drug sales
Selling pharmaceuticals through online platforms, social media, or unauthorized delivery arrangements outside the exceptions permitted by law is a growing category of enforcement, particularly for over-the-counter drugs marketed with exaggerated efficacy claims. These cases often combine a Pharmacist Act charge with an advertising violation, since claims about a drug's effect are separately regulated.
Unauthorized compounding or drug substitution
Pharmacists who compound, repackage, or substitute a drug without following the required procedure - for example substituting a generic without the prescribing doctor's consent where required - can face both criminal exposure and a finding of professional misconduct. Whether the substitution was medically justified and whether the patient or doctor was properly notified are usually the central factual disputes.
Pharmacist Act Violation | How suspension and revocation actually get decided
Health authorities generally follow published disposition guidelines, but the actual sanction depends heavily on the specific facts submitted at the hearing stage.
The role of the pre-disposition hearing
Before imposing a suspension or revocation, the authority must generally give the pharmacist an opportunity to submit an opinion or attend a hearing (행정절차법 제22조). This is often the single most important opportunity to present mitigating facts - such as the absence of prior violations, corrective measures already taken, or dispute over the underlying facts - before the disposition becomes final.
Suspension of execution as a practical remedy
If a suspension order has already been issued and an administrative appeal or lawsuit is filed to contest it, it is possible to separately request a stay of execution so the suspension does not take effect while the case is being reviewed (행정소송법 제23조). Without this request, the pharmacist may have to stop operating even if the underlying disposition is later overturned.
Pharmacist Act Violation | From the first contact with authorities to resolution
1
Initial review We review the police or prosecutor's summons, or the administrative notice of intended disposition, to identify which specific provisions are alleged to have been violated and what evidence has already been gathered.
2
Parallel strategy for both tracks Because the criminal and administrative cases are decided separately, we prepare a coordinated position for both - including whether to request a stay of the administrative disposition while the criminal matter is pending.
3
Investigation stage response This includes preparing for police or prosecutor interviews, submitting a written opinion at the health authority's hearing stage, and gathering documentary evidence such as dispensing records and prescription logs.
4
Resolution of the criminal case Depending on the stage, this may involve negotiating a non-indictment decision, responding to a summary fine order, or preparing a trial defense if the case proceeds to formal indictment.
5
Administrative appeal if needed If a suspension or revocation is issued, we assess whether to file an administrative appeal or lawsuit and whether a stay of execution should be requested to allow continued operation during review.
Pharmacist Act Violation | How fees are structured
Retainer fee Set based on which stage the case is at (police investigation, prosecution, trial, or administrative hearing) and whether both a criminal and an administrative matter need to be handled together.
Success fee If applicable, structured around defined outcomes such as a non-indictment decision, a reduced sanction period, or a favorable ruling on a stay of execution, agreed in advance and set out in the engagement contract.
Disbursements Covers items such as document retrieval fees, expert opinions on pharmaceutical or dispensing practice where relevant, and administrative appeal filing costs.
Separate handling of dual tracks Because criminal defense and administrative appeal work involve different procedures and often different filings, fee arrangements typically address each track separately even when handled by the same team.
※ Costs vary depending on case complexity and specific circumstances; exact fees will be provided during consultation. No specific outcome is guaranteed.
Pharmacist Act Violation | Self-Check Before You Respond
1️⃣ If You Received a Police or Prosecutor's Summons
Do you know exactly which provision of the Pharmacist Act you are alleged to have violated?
Have you kept dispensing records, prescription logs, or purchase records relevant to the period in question?
Is anyone else - such as a pharmacy owner or employee - implicated in the same facts?
Have you already made any statements to investigators without legal advice?
2️⃣ If You Received a Notice of Intended Administrative Disposition
Does the notice specify a deadline to submit a written opinion or request a hearing?
Have you identified whether the proposed sanction is a suspension or a revocation?
Do you have evidence of corrective measures taken since the alleged violation?
Is this your first alleged violation, or do you have a prior sanction history?
3️⃣ If You Are a Pharmacy Owner (Not the Named Pharmacist)
Is the pharmacy operated under a pharmacist's license that is not actually managing daily operations (사무장약사 structure)?
Have you reviewed whether your business arrangement complies with the ownership rules under the Act?
Could a health insurance or tax audit expose the actual management structure of the pharmacy?
4️⃣ If the Case Involves Online or Delivery Sales
Can you document exactly which platform or channel was used for the sale in question?
Were the products sold requiring a prescription, or over-the-counter items?
Did any advertising or listing describe the drug's effect in a way that could raise separate advertising law issues?
Frequently Asked Questions
Q. Can I be criminally charged and also lose my pharmacist license for the same incident?
A. Yes. The criminal case and the administrative sanction are handled by different authorities under different standards, so both can proceed based on the same underlying facts (약사법 제79조, 제93조). A favorable criminal outcome does not automatically prevent an administrative suspension, and vice versa.
Q. If the prosecutor decides not to indict me, is my license automatically safe?
A. Not necessarily. The health authority conducts its own review and can still impose a suspension based on its own findings, even after a non-indictment decision (약사법 제79조). It is important to respond to the administrative notice separately rather than assuming the criminal outcome resolves everything.
Q. What is 사무장약사 and why does it come up so often in these cases?
A. This refers to an arrangement where a non-pharmacist actually controls and profits from a pharmacy while a licensed pharmacist's name is used to satisfy the legal ownership requirement (약사법 제20조). These cases are often uncovered through health insurance billing audits, and the licensed pharmacist named on the registration can face criminal liability even without direct involvement in daily management.
Q. Can I keep operating my pharmacy while I appeal a suspension order?
A. Generally the suspension takes effect as ordered unless you separately request a stay of execution when filing an administrative appeal or lawsuit (행정소송법 제23조). Without that request being granted, you may need to stop operating during the review period even if you ultimately win the appeal.
Q. Does selling drugs online always violate the Pharmacist Act?
A. Online and delivery sales of pharmaceuticals are heavily restricted, and most arrangements outside the narrow exceptions permitted by law can constitute a violation (약사법 제44조). Whether a specific transaction is lawful depends on the type of drug, the platform used, and how the sale was structured.
Q. What should I do first if I receive a notice of intended administrative disposition?
A. Check the deadline for submitting a written opinion or requesting a hearing, since this is generally your main opportunity to present mitigating facts before the sanction becomes final (행정절차법 제22조). Missing this window can significantly limit your options later.
Q. Is a fine the only possible penalty for a Pharmacist Act violation?
A. No. Depending on the specific provision violated, penalties can include imprisonment as well as fines, and separate administrative sanctions can affect your ability to practice regardless of which criminal penalty is imposed (약사법 제93조, 제95조). The specific facts and provision at issue determine the range of possible outcomes.
Q. How long can a license suspension last?
A. The length of a suspension depends on the health authority's disposition guidelines and the specific facts of the case, including whether there are prior violations. This is generally decided at the hearing stage, which is why presenting mitigating evidence early matters.
Q. Should I hire a lawyer for the criminal case, the administrative case, or both?
A. Because the two proceedings run on different timelines and can produce independent outcomes, most pharmacists benefit from a coordinated approach that addresses both from the outset. Handling only the criminal matter while ignoring the administrative notice can result in a suspension taking effect regardless of the criminal outcome.
Q. Can a pharmacy employee be held responsible instead of the pharmacist?
A. Liability generally depends on who actually performed the prohibited act and who had authority over the relevant decision, so this is assessed on a case-by-case basis. In some structures, both the pharmacist and an employee or manager can face separate exposure depending on their role.
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