Pharmacy Clearing House Subject to Provincial Jurisdiction

In Ontario College of Pharmacists v. 1724665 Ontario Inc (Global Pharmacy Canada),   2013 ONCA 381, the Ontario Court of Appeal upheld an injunction granted by the Ontario Supreme Court ruling that an internet pharmacy business  (Global) based in Mississauga, Ontario, selling drugs to Americans, supplied by pharmacists in India, is subject to the jurisdiction of the Ontario College of Pharmacists.  Global operated a call center from which its employees received internet orders for prescription medication from Americans.  Canadians were blocked from accessing the site.  The orders were processed, payment received or refunded if necessary, and problems were solved at Global.  The drugs were sent directly to the American customers from pharmacists in India and did not enter Canada.  The drug packages were sent into the US labelled as "health products for personal use".  Global argued that it was not subject to provincial regulation because it was not selling prescription drugs to customers in Ontario and the contracts were not substantially connected to Ontario. The OCA upheld the trial judge's analysis that the purposive approach  to statutory interpretation meant that there was a substantial connection to Ontario notwithstanding that the public affected was outside the jurisdiction.

http://canlii.ca/t/fz49z