ACT Medicines, Poisons and Therapeutic Goods Act 2008 s171-172: Prevent contraventions by employees and agents (whose conduct is attributed to the business unless it took all reasonable steps) and, as an executive officer, take reasonable steps including compliance assessments, implementing recommendations and staff training

What does s171-172 require?

For offences under Chapters 4 and 5 and licence conditions, conduct of an employee or agent within their actual or apparent authority is treated as the conduct of the individual principal unless the principal shows it took all reasonable steps to prevent it, judged by how it made sure the representative understood the requirement and by the level of supervision appropriate (s 171). A corporation's executive officer is personally guilty of an offence, at the maximum penalty for an individual, if the corporation commits a listed offence (such as unauthorised supply, invalid authority supply, improper discarding, obtaining or possessing) and the officer was reckless, could influence the conduct and failed to take reasonable steps; courts consider whether the officer ensured regular professional compliance assessments, implementation of their recommendations and staff, agent and contractor understanding, and what the officer did on learning of a likely offence (s 172).