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Perspective: Pharma Industry Under Antitrust Scrutiny

Download this publication October 13, 2009

Competition authorities continue to examine various aspects of the pharmaceutical industry. Most recently, the European Commission conducted surprise inspections of certain pharmaceutical companies, seeking evidence of anti-competitive conduct. One issue of concern is the impact on competition of "pay-for-delay" or "reverse payment" patent settlement agreements, whereby branded pharmaceutical manufacturers make payments to generic manufacturers in exchange for delaying their entry. Although this issue has yet to be a specific focus of concern in Canada, recent amendments to the Competition Act (to come into force in March 2010) could make it easier for Canada's Competition Bureau to follow the example of its counterparts in other jurisdictions.

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