of the service arrangement and that are not passed on in whole to a client or customer, whether or not the entity takes title to the drug. (ii) Pharmacy benefit manager The term pharmacy benefit manager means any person, business, or other entity that, pursuant to an agreement with a PDP sponsor or part D plan either directly or through an intermediary acts as a price negotiator or group purchaser on behalf of such sponsor or plan, or manages the prescription drug benefits provided by such sponsor or plan, including the processing and payment of claims for prescription drugs, the performance of drug utilization review, the processing of drug prior authorization requests, the adjudication of appeals or grievances related to the prescription drug benefit, contracting with network pharmacies, controlling the cost of covered part D drugs, or the provision of services related thereto. Such term includes— (I) any person, business, or other entity that carries out one or more of the activities described in the preceding sentence