The UK Competition Appeal Tribunal partly annuls the CMA’s decision that pharmaceutical companies abused their dominant position by setting excessive and unfair prices for an epilepsy drug (Pfizer / Flynn)

On 7 June 2018, the Competition Appeal Tribunal (CAT) set aside in part the 2016 decision of the Competition and Markets Authority (CMA) that Pfizer and Flynn Pharma had abused their dominant positions by setting excessive and unfair prices for the capsule form of the epilepsy drug phenytoin sodium. [1] The CAT, in reaching this conclusion, concluded that the CMA had failed to apply correctly the legal test set in the European Court of Justice (ECJ) United Brands case (C-27/76). [2] In particular, the CMA did not adequately determine the economic value of the drug by taking into account patient benefits and giving sufficient consideration to tablets as a potential comparable product. By emphasising the rigorous legal challenges faced by authorities when bringing excessive pricing

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Authors

  • Norton Rose Fulbright (London)
  • Norton Rose Fulbright (Brussels)

Quotation

Ian Giles, Clio Angeli, The UK Competition Appeal Tribunal partly annuls the CMA’s decision that pharmaceutical companies abused their dominant position by setting excessive and unfair prices for an epilepsy drug (Pfizer / Flynn), 7 June 2018, e-Competitions Bulletin June 2018, Art. N° 90012

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