7. Retaining the Services of a Stakeholder

Agreements with Stakeholders allow Members to obtain information and/or advice from experts.

Subject to Section 7.2, Members may retain Stakeholders, whether in groups or individually and compensate them for their services, travel and other expenses in connection with activities such as speaking at and/or chairing meetings, involvement in medical/scientific studies, clinical trials or training services, participation at advisory board meetings, participation in market research, development of material or other related services.

The agreements between Members and Stakeholders must be in writing and, to the extent relevant to the particular agreement, must fulfill all the following criteria:

• A legitimate need for services must be clearly identified in advance of requesting the services and entering into an agreement with the prospective Stakeholder. The selection of the Stakeholder must be based solely on his/her qualifications to provide the service required;
• The number of Stakeholders retained must not be greater than the number reasonably necessary to achieve the identified need;
• The hiring of the Stakeholder to provide the relevant service must not be an inducement for: prescribing, supplying, recommending, buying, selling, access, reimbursement or favoring Member’s products;
• Compensation for the services (or honorarium) must be reasonable and reflect the fair market value of the services provided. Reimbursement of reasonable out-of-pocket expenses, including travel and accommodation, may be provided where the Code allows it. Payments must never be in cash;
• Agreements must specify the nature of the services to be provided and the basis for payment of those services.