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The word, derogatory, means disparaging or belittling. Do "derogatory rules" have any positive meaning when it comes to setting drug prices for governments to contain medical spending?

4. MARKET AND POLICY DEVELOPMENTS

4.1. Managed entry agreements

A total of 9 replies from national authorities declare that managed entry agreements are used in their counties. In most cases, the declared market share covered by managed entry agreements is small (less than 5%), although two countries report market shares above 20%.Most of the responses from national authorities do not see any role for the Transparency Directive with respect to managed entry agreements: only three respondents were in favour of explicitly extending the scope of the directive to such agreements (their main argument being that the role of managed entry agreements as a derogatory procedure needs to be clarified).

European Commission

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The document uses a different sense of the word. A hint is the appearance of the word "derogation" elsewhere in the text, a term not common in everyday English, but rather a bit of "spec speech". Of the two definitions, the first one seems most applicable.

derogation: 1 An exemption from or relaxation of a rule or law.

The same online dictionary does not give a definition of derogatory in the same sense, but rather only offers one definition.

derogatory Showing a critical or disrespectful attitude.

Given that this is a formal/legal document, and one intended to be translated into several languages, it's not unexpected that certain terms like "derogation" and "derogatory" would have established meanings that differ from "everyday" speech. In this case "derogatory" means "causing exemption", or something of that nature.

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I'm going to assume it's a French calque. In French, déroger can mean to modify, repeal, or create an exception to a law. A derogatory procedure might be referred to as an exception, exclusion, waiver, or special provision in more idiomatic English.

Basically it is saying that the commenters want a possible exception to the general policy to be clearly outlined so that it's not turned into a loophole.

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