Price, Boston's eighth-round pick in the 2010 Draft out of Virginia Tech, received a 50-game suspension after a second violation of the Minor League Drug Prevention and Treatment Program for a drug of abuse.
The 22-year-old will begin serving the ban immediately.
Price, who has not appeared in a Minor League game this season, debuted with Boston last year when he appeared in three games for the Gulf Coast League Red Sox and Class A Greenville Drive, striking out four in 3 1/3 innings. He underwent Tommy John surgery in October 2010.
Minor Leaguers are warned after testing positive for a drug of abuse and then suspended after a second violation. The Commissioner's Office does not disclose the specific substance in these cases. Substances considered "drugs of abuse" by Major League Baseball include cocaine, marijuana, heroin, LSD, ecstasy and other opiates.
The Marietta, Ga., native was originally drafted by Atlanta in 2008 but did not sign, instead going to Virginia Tech, where he went 7-4 with a 4.95 ERA and 85 strikeouts over 91 innings in 17 games (15 starts) as a sophomore in 2010, leading the Hokies in wins and innings. He's currently on the 7-Day Disabled List for Greenville.
Price is the 40th player to be suspended for violating the Minor League drug program this calendar year and the third player this week.