Why distributors have to check at all
A prescription device carries the "Rx only" label for a reason. Under federal rules, it can only be sold to a licensed practitioner, on a practitioner's order, or to a business lawfully engaged in distributing it.
A prescription device "is to be sold only to or on the prescription or other order of such practitioner." 21 CFR 801.109(a)(2)
If you also sell prescription drugs, the Drug Supply Chain Security Act adds a second rule. A wholesale distributor's trading partners "may be only authorized trading partners" (21 U.S.C. 360eee-1(c)(3)). For a pharmacy or other dispenser, authorized means it holds a valid license under state law.
States add their own layer. Some spell out that the distributor must verify the buyer's license. Some require you to keep a copy of it. Some license device and DME distributors separately. See the rules for each state.
What to check for each type of customer
The license you check depends on who is buying. Match the customer to the board that licenses them.
| Customer | What to confirm | Where it lives |
|---|---|---|
| Retail or specialty pharmacy | Active pharmacy permit for the ship-to address | State board of pharmacy |
| Physician, dentist, podiatrist, or other practitioner | Active license in the state where they practice, NPI, and DEA registration for controlled substances | State medical or professional board, NPI registry, DEA |
| Clinic, surgery center, or hospital | The facility's state license or pharmacy permit, and the ordering practitioner's license | State health department or board of pharmacy, plus the medical board |
| DME or home medical equipment supplier | The state DME or device license where the state requires one | Varies by state (often the board of pharmacy or health department) |
| Another distributor | Wholesale drug distributor or device distributor license in its home state and the ship-to state | State board of pharmacy or health department |
The manual way, step by step
- Collect the license number, the NPI, and the DEA number (if any) when you open the account.
- Look each one up on the board's public lookup site. Confirm the name and address match the ship-to.
- Confirm the status is active and the license type covers what you sell.
- Save a dated printout or PDF of each lookup in the customer file.
- Set a reminder before each expiration date and repeat the lookup.
- Watch for board actions like suspensions and probation, which do not wait for an expiration date.
Where the manual way breaks
Steps one through four are fine for a handful of accounts. The trouble is step six. A license that was active when you opened the account can be suspended next week, and nothing in a spreadsheet tells you. Boards post changes on their own schedules, on fifty different websites.
So most teams check at onboarding and again at renewal. The gap between those checks is where a shipment goes to an account that is no longer in good standing.
How WorkdID does it
WorkdID is the license compliance module from Workd. It does the lookups for every account you sell to, every day.
- Checks the right boards. State boards of pharmacy, state medical boards, the NPI registry, and DEA registrations.
- Catches changes between renewals. Expirations, suspensions, and disciplinary actions are flagged within a day of the board posting them.
- Warns you early. Alerts at 90, 60, 30, and 7 days before a license expires, so your team can chase the renewal.
- Can stop the shipment. In Workd order entry, an account that is out of good standing can be held until your compliance team clears it.
- Keeps the proof. Every check is logged with the time, the source, and a copy of the board record.
Your compliance team keeps making the calls. WorkdID does the looking so they can spend their time on the accounts that need a decision.
For medical supply and medical appliance distributors
The same rules reach well past implants and capital equipment. Many respiratory, wound care, and mobility products carry the Rx-only label, and so does a lot of durable medical equipment. If your catalog mixes over-the-counter supplies with Rx-only items, the Rx-only lines need the license check. WorkdID checks the customers behind those orders the same way it checks a pharmacy.