Answer extracted from the B2B Vault: The Biz To Biz Podcast — listen to the full episode below.
How did compounding pharmacies need to adapt after the GLP-1 shortage ended?
When the FDA announced the end of its GLP-1 shortage declaration, it set a specific legal deadline for compounding pharmacies to cease all GLP-1 operations. LegitScript verified that 100 percent of merchants affected reached full compliance by the mandated timeframe, successfully exiting this temporary business line across the board.
The FDA Deadline and Merchant Coordination
The FDA's closure of the shortage window created an immediate compliance requirement rather than a gradual transition. Merchants received a formal deadline and had no discretion to continue compounding GLP-1 medications beyond that date. This regulatory action reflected the temporary nature of the shortage exemption that had allowed compounding pharmacies to operate in this space in the first place.
LegitScript's role was to ensure that merchants who had been selling GLP-1 products under the compounding window understood the requirement and executed their exit strategy on schedule. As discussed in the episode, the certification body reached out directly to affected merchants to confirm their compliance plans before the deadline arrived.
How Full Compliance Was Achieved
Proactive outreach and verification were key to ensuring no merchant inadvertently remained in violation after the FDA deadline. LegitScript contacted merchants across its network to document their intention to cease GLP-1 compounding operations and tracked their adherence to the announced timeline.
The fact that LegitScript achieved 100 percent compliance among merchants in its certification portfolio underscores the importance of clear regulatory communication and merchant education in a rapidly shifting market. Unlike a voluntary business decision, this exit was legally mandated, and the high compliance rate reflected both the clarity of the FDA's directive and merchants' understanding that non-compliance would jeopardize their broader business operations and payment processing relationships.
"We certify based on current applicable laws and regulations, not what a committee thinks might be true in a year or two."
Angela Salter — Vice President of Enterprise Certification Sales and Partnerships at LegitScript. Angela oversees enterprise new customers and account management for certification customers, as well as strategic partnerships with ad platforms and card brands that require LegitScript certification. Her team manages the intersection of regulatory compliance and business operations for merchants in telemedicine and pharmacy, ensuring certification standards remain aligned with current legal requirements rather than speculative future changes.
This principle proved essential when the GLP-1 shortage window closed. Merchants had been operating under a temporary FDA exemption, and when that exemption ended, the regulatory ground shifted immediately. LegitScript's focus on actual law—not anticipated changes—meant merchants knew exactly when and how they needed to adjust their operations.
For merchants still navigating telemedicine and pharmacy compliance, the full episode explores how LegitScript certification tracks regulatory changes in real time and what merchants must update when product offerings or legal status shifts occur.
See also
What is the current legal status of peptide compounds like BCP157 and TB500 for compounding and sale?
As of now, nothing has legally changed from a legal standpoint. The FDA's advisory committee signaled that these peptides might eventually have a legitimate regulatory path forward, but compounding remains subject to current applicable law.
Why do payment processors and advertising platforms require LegitScript certification?
These platforms require certification to align with their policies and reduce the risk of fake, dangerous, or misleading health care advertising, protecting both consumers and their own business interests.
What does LegitScript certification mean for a merchant operating in telemedicine and pharmacy?
Certification means a business has gone through a review process and demonstrated that its model, marketing, and offerings meet a defined set of legal and regulatory standards required by payment networks and ad platforms.
Key takeaways
- The FDA's closure of the GLP-1 shortage window established a firm deadline for compounding pharmacies to exit this business line entirely.
- LegitScript verified merchant compliance plans in advance and achieved 100 percent adherence to the FDA's mandated timeframe.
- Regulatory clarity and direct merchant outreach ensured that temporary business operations ceased on schedule without violations.
- Certification bodies that track current law—rather than speculative future regulations—help merchants navigate sudden shifts in the compliance landscape.