Bureau Releases Paper on Patent Litigation Settlement Agreements in Canada
OTTAWA, ONTARIO--(Marketwired - Sept. 23, 2014) - Competition Bureau
Commissioner of Competition John Pecman today addressed a conference on Global Antitrust Challenges for the Pharmaceutical Industry at George Mason University, where he discussed the Bureau's enforcement approach to potentially anti-competitive patent litigation settlement agreements and announced the release of a white paper that provides a Canadian perspective on the issue.
Entitled "Patent Litigation Settlement Agreements: A Canadian Perspective", the paper provides background information on the regulatory system that governs the entry of generic drugs in Canada, the role of competition legislation in Canada, and the Bureau's preliminary views on how Canadian competition law could be applied to potentially anti-competitive patent litigation settlement agreements in Canada.
Patent litigation settlement agreements allow parties to avoid costly litigation, but also may have the potential to prevent or delay timely entry of lower cost, bio-equivalent generic drugs and result in consumers paying higher prices and having less choice.
In his remarks, Commissioner Pecman told participants that the Bureau would review potentially anti-competitive patent litigation settlement agreements under the criminal conspiracy provision or the civil agreements or abuse of dominance provisions in the Competition Act. The Commissioner added that decisions on whether to pursue alleged anti-competitive behaviour under the criminal or civil provisions of the Act would be based on the facts and evidence available.
The full version of the Commissioner's remarks can be found on the Bureau's website.
Quick Facts
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"Given the importance of pharmaceuticals to Canada's health care sector, changes in the pharmaceutical industry are of interest to the Bureau. As a result, the Bureau has taken a keen interest in reverse-payment settlements and product hopping issues, given the possibility that they may delay generic entry."
John Pecman, Commissioner of Competition
Associated Links
Patent Litigation Settlement Agreements: A Canadian Perspective
Updated Intellectual Property Enforcement Guidelines
Competition in the Pharmaceutical Industry
Highlights: Competition Bureau Workshop on Antitrust Issues in the Pharmaceutical Sector
Position Statement: Competition Bureau Discontinues its Investigation of Alcon Canada Inc.
Benefiting from Generic Drug Competition in Canada: The Way Forward
The Competition Bureau, as an independent law enforcement agency, ensures that Canadian businesses and consumers prosper in a competitive and innovative marketplace.
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