Respecting Corporate Contracts: State-By-State Risk Index, Third Edition

By February 8, 2023 No Comments

This Third Edition of the State-by-State Risk Index serves as a guide for companies concerned about execution secrecy laws and the implications for commercial enterprises and public health.

The Index contains individualized risk profiles for every state in the United States, the District of Columbia, and the federal government and assigns a risk evaluation (“high,” “medium,” or “low”) based on legislation, policies, and practices in this area.

Companies looking to expand their businesses in the US are advised to consult the risk profiles in this Index before investing. Companies should engage with officials in medium and high risk states to request confirmation that their contractual rights and corporate interests will be respected, and that public and patient health will be protected.

In the four years since this Index was first published in July 2018, there have been significant developments in the secrecy law landscape. 2020, for example, saw the first-ever legislative repeal of a secrecy law in Virginia before the death penalty was abolished there in 2021.

In 2022, harmful legislation was passed expanding execution secrecy in Florida and Idaho. Although both states already had secrecy laws/policies in place, this new legislation creates a significant burden for companies seeking to effectively monitor the supply chain for restricted medicines. In more positive news, in 2022, Louisiana state officials announced they are “out of the execution medication business.” This announcement highlights the efficacy of companies’ distribution controls and the value of communications to state officials in protecting medicines from misuse.

Overall, the number of states categorized as high and medium risk has decreased.

Download State-by-State Risk Index, Third Edition