Brussels, 05/07/2010 (Agence Europe) - The number of patent settlements in the pharmaceutical sector that are potentially problematic under the European Union's antitrust rules fell to 10% of total patent settlements (9 out of 93) in the sector in the period July 2008 to December 2009 compared with 22% in the period covered in last year's inquiry into the pharmaceutical industry (January 2000-June 2008). The amount of money involved in the settlements, between the so-called "originator" pharmaceutical companies and producers of generic drugs also appears to have decreased from more than €200 million recorded in the sector inquiry period to less than €1 million in the more recent period, according to a Commission report monitoring patent settlements published on Monday 5 July 2010.
In a press release, the Commission comments that this “is good news for consumers that cheaper generic drugs are not being unduly kept out or delayed into the market. At the same time, the overall number of patent settlements shows that the Commission's heightened scrutiny of the sector has not hindered out-of-court settlement of litigation. The Commission will continue monitoring the sector to make sure that the settlements in the sector are not delaying entry of generics in the market or do not contain other restrictions that would be problematic under EU competition law.”
“Patent settlements are an effective means to end patent-related disputes and litigation. Nobody disputes this. However, some of them may be anticompetitive. Our report appears to show the sector's increased awareness of the potential competition concerns, but the Commission will remain attentive to ensure that the sale of safe, affordable medicines is not delayed by unfair practices. This is all the more important in times of crisis and of serious budgetary constraints”, commented Joaquín Almunia, EU Competition Commissioner. (L.C./transl.fl)