Liability Risk and Its Impact on the Price of Medicine and Pharmaceutical Products (Comparative Study of Iran, England and United States)

This study shows the effect of risk of pharmaceutical manufacturer's responsibility on the prices of medicines in the legal system in Iran, England and United State of America.
By examining the type and responsibility of pharmaceutical manufacturers in these three legal systems, we concluded that in the legal system of the United State of America, acceptance of strict liability, private pharmaceutical companies, high number of complaints and jury attendance for claims show a high risk of liability which leads to high increase in pharmaceutical prices. In the UK due to limited responsibility, non-private pharmaceutical companies, lake of special circumstances in judge in this type of claims, liability risk for manufacturers is low. In sum, it causes low prices of medicines. However, in Iran' skyrocketing medicine is not for the reason of liability risk because liability risk is very low.