Termination of contract–effect on payment terms–right to terminate–termination of pharmacy contracts
(1) A term for compensation or payment shall not survive the termination of a contract, except for a continuation of coverage required by law or with the agreement of the health care provider.
(2) In addition to the right to terminate a contract in accordance with section 25-37-104(2) based on a material change to the contract, a contract with a duration of less than two years shall provide to each party a right to terminate the contract without cause, which termination shall occur with at least ninety days’ written notice. For contracts with a duration of two or more years, termination without cause may be as specified in the contract.
(3) A contract between a pharmacist or a pharmacy and a pharmacy benefit manager, such as a pharmacy benefit management firm as defined in section 10-16-102, C.R.S., shall be terminated if the federal drug enforcement agency or other federal law enforcement agency ceases the operations of the pharmacist or pharmacy due to alleged or actual criminal activity.