text: SECTION 1. SHORT TITLE.
  
      This Act may be cited as the ``Pharmaceutical Products Price Equity 
  Act''.
  
  SEC. 2. FINDINGS.
  
      The Congress finds the following:
              (1) Modern life enhancing and life sustaining drugs are the 
          products of decades of scientific research and practice.
              (2) The refining and production of products by American 
          pharmaceutical enterprises must be appropriately compensated.
              (3) The pricing of American pharmaceutical products varies 
          greatly from country to country with the corporate owners of 
          such products voluntarily assuming no losses by always selling 
          their products above the cost of production.
              (4) Considering the vital life and death nature of 
          pharmaceutical products, it is appropriate that the United 
          States Government, in harmony with other nations belonging to 
          the World Trade Organization, should engage in the reasonable 
          regulation of the prices of pharmaceutical products.
  
  SEC. 3. REASONABLE LIMITS ON PROFITS OF PHARMACEUTICAL PRODUCTS.
  
      (a) Presidential Authority.--The President shall issue such orders 
  and regulations, and establish such procedures and reporting 
  requirements, as the President determines to be appropriate to ensure 
  that no pharmaceutical product (as defined by the President in such 
  regulation or order) is sold to any consumer in the United States at a 
  price that is more than 6 percent above the average retail price at 
  which such pharmaceutical product is sold in the 5 most industrialized, 
  free-market countries, other than the United States, as determined by 
  the President.
      (b) Delegation.--The President may delegate the performance of any 
  function under this section to any officer of any Federal department or 
  agency who has been appointed by the President, by and with the consent 
  of the Senate.
      (c) Confidentiality of Information.--All information reported to or 
  otherwise obtained by any person exercising any authority under this 
  section which contains or relates to a trade secret or other matter 
  referred to in section 1905 of title 18, United States Code, shall be 
  considered confidential for purposes of that section, except that such 
  information may be disclosed to any other officer or employee of the 
  United States involved in carrying out this section solely for the 
  purpose of carrying out, and enforcing compliance with, this section.
      (d) Subpoena Power and Production of Documents.--
              (1) In general.--The officer of any agency or department to 
          whom the President has delegated any authority under this 
          section, may--
                      (A) examine any books, papers, records, or other 
                  data of any person which is relevant to the enforcement 
                  of this section or to any recordkeeping or reporting 
                  requirement prescribed for the purpose of carrying out 
                  this section; and
                      (B) summon any person, an officer or employee of 
                  any person (including a former officer or employee), or 
                  any person having possession, custody, or care of the 
                  reports and records required to be made or maintained 
                  pursuant to this section, to appear at a time and place 
                  named in the summons and to produce such books, papers, 
                  records, or other data, and to give testimony, under 
                  oath, as may be relevant or material to an 
                  investigation or procedure under this section.
              (2) Administrative aspects of summons.--
                      (A) Production at designated site.--A summons 
                  issued pursuant to this section may require that books, 
                  papers, records, or other data stored or maintained at 
                  any place be produced at any designated location in any 
                  State  or in any territory or other place subject to 
  the jurisdiction of the United States not more than 500 miles distant 
  from any place where the person summoned operates or conducts business 
  in the United States.
                      (B) Fees and travel expenses.--Persons summoned 
                  under this section shall be paid the same fees and 
                  mileage for travel in the United States that are paid 
                  witnesses in the courts of the United States.
                      (C) No liability for expenses.--The United States 
                  shall not be liable for any expense, other than an 
                  expense described in subparagraph (B), incurred in 
                  connection with the production of books, papers, 
                  records, or other data under this section.
              (3) Service of summons.--Service of a summons issued under 
          this section may be by registered mail or in such other manner 
          calculated to give actual notice as the officer delegated by 
          the President may prescribe by regulation.
              (4) Contumacy or refusal.--
                      (A) Referral to attorney general.--In case of 
                  contumacy by a person issued a summons under this 
                  subsection or a refusal by such person to obey such 
  summons, the officer issuing the summons shall refer the matter to the 
  Attorney General.
                      (B) Jurisdiction of court.--The Attorney General 
                  may invoke the aid of any court of the United States 
                  within the jurisdiction of which--
                              (i) the investigation which gave rise to 
                          the summons is being or has been carried on;
                              (ii) the person summoned is an inhabitant; 
                          or
                              (iii) the person summoned carries on 
                          business or may be found,
                  to compel compliance with the summons.
                      (C) Court order.--The court may issue an order 
                  requiring the person summoned to appear before the 
                  Secretary or his delegate to produce books, papers, 
                  records, and other data, to give testimony as may be 
                  necessary to explain how such material was compiled and 
                  maintained, and to pay the costs of the proceeding.
                      (D) Failure to comply with order.--Any failure to 
                  obey the order of the court may be punished by the 
                  court as a contempt thereof.
                      (E) Service of process.--All process in any case 
                  under this subsection may be served in any judicial 
                  district in which such person may be found.
  
  SEC. 4. ENFORCEMENT.
  
      (a) Injunctions and Other Relief.--
              (1) In general.--Whenever it appears to the officer 
          authorized by the President to exercise authority under this 
          Act, that any person has engaged, is engaged, or is about to 
          engage in any act or practice that constitutes a violation of 
          any regulation or order prescribed or issued pursuant to 
          section 3, the officer may request the Attorney General to 
          bring an action in an appropriate district court of the United 
          States to enjoin such act or practice.
              (2) Remedies.--Upon a proper showing in any action under 
          paragraph (1), the court--
                      (A) shall issue a temporary restraining order or 
                  grant a preliminary or permanent injunction without 
                  bond;
                      (B) may also issue a mandatory injunction 
                  commanding any person to comply with any order or 
                  injunction issued or granted under subparagraph (A); 
                  and
                      (C) may order restitution of moneys received in 
                  violation of any regulation prescribed or order issued 
                  under section 3 or any order issued or injunction 
                  granted under this section.
      (b) Penalties.--
              (1) Criminal.--Whoever knowingly violates any regulation 
          prescribed or order issued under section 3 shall be fined not 
          more than the amount equal to 200 percent of the amount of the 
          sale related to each violation.
              (2) Civil.--
                      (A) In general.--Whoever violates any regulation 
                  prescribed or order issued under section 3 shall be 
                  liable to the United States for a civil penalty of not 
                  more than 200 percent of the amount by which such 
                  person was unjustly enriched in connection with such 
                  violation.
                      (B) Continuing violations.--A separate violation 
                  occurs for each sale of a pharmaceutical product in 
                  violation of a regulation prescribed or order issued 
                  under section 3.
                      (C) Assessment.--
                              (i) Written notice.--Any penalty imposed 
                          under subparagraph (A) may be assessed and 
                          collected by the officer authorized by the 
                          President to exercise authority under this Act 
                          by written notice.
                              (ii) Finality of assessment.--If, with 
                          respect to any assessment under clause (i), a 
                          hearing is not requested pursuant to 
                          subparagraph (F) within the period of time 
                          allowed under such subparagraph, the assessment 
                          shall constitute a final and unappealable 
                          order.
                      (D) Authority to modify or remit penalty.--Any 
                  officer authorized by the President to exercise 
                  authority under this Act may compromise, modify, or 
                  remit any penalty which such officer may assess or had 
                  already assessed under subparagraph (A).
                      (E) Mitigating factors.--In determining the amount 
                  of any penalty imposed under subparagraph (A), the 
                  officer authorized by the President to exercise 
                  authority under this Act shall take into account the 
                  appropriateness of the penalty with respect to--
                              (i) the size of financial resources and 
                          good faith of the person charged;
                              (ii) the gravity of the violation;
                              (iii) the history of previous violations; 
                          and
                              (iv) such other matters as justice may 
                          require.
                      (F) Hearing.--The person against whom any penalty 
                  is assessed under this paragraph shall be afforded an 
                  agency hearing if such person submits a request for 
                  such hearing within 20 days after the issuance of the 
                  notice of assessment.
                      (G) Collection.--
                              (i) Referral.--If any person fails to pay 
                          an assessment after any penalty assessed under 
                          this paragraph has become final, the officer 
                          who imposed the penalty shall recover the 
                          amount assessed by action in the appropriate 
                          United States district court.
                              (ii) Appropriateness of penalty not 
                          reviewable.--In any civil action under clause 
                          (i), the validity and appropriateness of the 
                          penalty shall not be subject to review.
                      (H) Disbursement.--All penalties collected under 
                  authority of this paragraph shall be deposited into the 
                  Treasury.
                      (I) Regulations.--Any officer authorized by the 
                  President to exercise authority under this Act shall 
                  prescribe regulations establishing such procedures as 
                  may be necessary to carry out this paragraph.
  
  SEC. 5. CIVIL LIABILITY.
  
      (a) Liability Established.--Any person who violates any regulation 
  prescribed or order issued under this Act with respect to any other 
  person shall be liable to such person in an amount equal to the sum of 
  the amounts determined under each of the following paragraphs:
              (1) Actual damages.--The greater of--
                      (A) the amount of any actual damage sustained by 
                  such person as a result of such failure; or
                      (B) any amount paid by the injured person to the 
                  violator.
              (2) Punitive damages.--
                      (A) Individual actions.--In the case of any action 
                  by an individual, such additional amount as the court 
                  may allow.
                      (B) Class actions.--In the case of a class action, 
                  the sum of--
                              (i) the aggregate of the amount which the 
                          court may allow for each named plaintiff; and
                              (ii) the aggregate of the amount which the 
                          court may allow for each other class member, 
                          without regard to any minimum individual 
                          recovery.
              (3) Attorneys' fees.--In the case of any successful action 
          to enforce any liability under paragraph (1) or (2), the costs 
          of the action, together with reasonable attorneys' fees.
      (b) Factors To Be Considered in Awarding Punitive Damages.--In 
  determining the amount of any liability of any person under section 
  (a), the court shall consider, among other relevant factors--
              (1) the frequency and persistence of noncompliance by the 
          violator;
              (2) the nature of the noncompliance;
              (3) the extent to which such noncompliance was intentional; 
          and
              (4) in the case of any class action, the number of 
          consumers adversely affected.
  
  SEC. 6. AUTHORIZATION OF APPROPRIATIONS.
  
      There are authorized to be appropriated to the President for fiscal 
  years 2003, 2004, and 2005, such sums as may be necessary to carry out 
  this Act.
target: Pharmaceutical Products Price Equity Act - Directs the President to issue orders and regulations, and establish procedures and reporting requirements, to ensure that no pharmaceutical product is sold to any consumer in the United States at a price that is more than six percent above the average retail price at which such pharmaceutical product is sold in the five most industrialized, free-market countries, other than the United States. Sets forth enforcement and civil liability provisions.
feat_title: To provide for prices of pharmaceutical products that are fair to the producer and the consumer, and for other purposes.