The European Commission has fined the pharmaceutical company Teva €462 million for abusing the patent system to maintain exclusivity for its drug Copaxone, used to treat multiple sclerosis. This behavior delayed the market availability of a competing medicine. The abuse of Teva’s dominant position was observed in several countries, including Belgium, the Czech Republic, Germany, Italy, the Netherlands, Poland and Spain.

According to the Commission, Teva has “misused patent procedures”. When its patent on glatiramer acetate, the active ingredient in Copaxone, was about to expire in 2015, the Israeli multinational sought to artificially extend the protection of its product by misusing the European Patent Office (EPO) rules on divisional patents. In addition, Teva conducted a systematic campaign against a competing glatiramer acetate-based medicine for the treatment of multiple sclerosis, spreading misleading information about the safety and efficacy of the competing product, despite the latter having received approval from the competent health authorities. This is the first time that the European Commission has applied a fine for such practices.

Teva’s conduct, which lasted between 4 and 9 years depending on the market considered, not only hindered competitors, but may also have prevented a reduction in drug prices. This would have had negative repercussions on public health budgets. Data indicates that after the competitor’s product entered the market, prices fell by up to 80%, generating significant savings for health systems.

The fine of €462 million was decided taking into account the seriousness and duration of the infringements and the value of Teva’s sales linked to these practices. The Commission considered that the amount was appropriate and necessary to ensure a deterrent effect against similar behavior in the future.