Bombay High Court upholds Nexavar compulsory licence

Managing IP is part of Legal Benchmarking Limited, 1-2 Paris Gardens, London, SE1 8ND

Copyright © Legal Benchmarking Limited and its affiliated companies 2026

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Bombay High Court upholds Nexavar compulsory licence

The Bombay High Court has rejected Bayer’s challenge to the compulsory licence granted for its Nexavar cancer treatment drug

According to Livemint, Justice MS Sanklecha stated that the court saw no reason to overturn the Intellectual Property Appellate Board’s (IPAB) ruling from last February upholding the licence.

Bayer has stated that it will appeal the decision to the Supreme Court.

The Bombay High Court decision is the latest development involving India’s first compulsory licence, which was granted in March 2012. Then controller of patents PH Kurian granted the application from generic manufacturer Natco under section 84 of the Patents Act. This says that a compulsory licence may be granted if (a) the reasonable requirements of the public with respect to the drug have not been satisfied, (b) the patented invention is not available to the public at a reasonably affordable price, or (c) the patented invention is not worked in India.

The patent controller found that Natco established all three grounds and he granted a compulsory licence with a royalty rate of 6% of net sales.

Bayer appealed the patent controller’s decision to the IPAB. Last February, the Board upheld the compulsory licence grant, though it noted that the patent controller erred in finding that a drug not manufactured in India automatically meant it was not being worked in India. The IPAB also raised the royalty rate to 7%.

To this date, Nexavar is the only drug that has been subjected to a compulsory licence in India, though several other applications have been rejected.



more from across site and SHARED ros bottom lb

More from across our site

There are some impressive AI tools available for trademark lawyers, but law firm leaders say humans can still outthink the bots
Lawyers at Simmons & Simmons look ahead to a UK Supreme Court hearing in which the court will consider whether English courts can determine FRAND terms when the licence is offered by an intermediary rather than an SEP owner
Firm says appointment of Jeremy Drew from RPC will help create ‘unrivalled IP powerhouse’, as it looks to shore up IP offering ahead of merger
Law firms are expanding their ITC practices to account for the venue’s growing popularity, and some are seeing an opportunity to collaborate with M&A teams
Erise IP has added a seven-practitioner trademark team from Hovey Williams, signalling its intention to help clients at all stages of development
News of prison sentences for ex-Samsung executives for trade secrets violation and an opposition filed by Taylor Swift were also among the top talking points
A multijurisdictional claim filed by InterDigital and a new spin-off firm in Germany were also among the top talking points
Duarte Lima, MD of Spruson & Ferguson’s Asia practice, says practitioners must adapt to process changes within IP systems, as well as be mindful of the implications of tech on their practices
Practitioners say the UK Supreme Court’s decision could boost the attractiveness of the UK for AI companies
New awards, including US ‘Firm of the Year’ and Latin America ‘Firm to Watch’, are among more than 90 prizes that will recognise firms and practitioners
Gift this article