Indian compulsory licence appeal begins in Bombay

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

Copyright © Legal Benchmarking Limited and its affiliated companies 2025

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

Indian compulsory licence appeal begins in Bombay

Oral arguments in the appeal over India’s compulsory licence grant for Bayer’s Nexavar are set to begin today in the Bombay High Court

The patent controller issued India’s first compulsory licence for the cancer treatment in March 2012.

Generic manufacturer Natco applied for the licence under section 84 of the Patents Act, arguing that: (a) the reasonable requirements of the public with respect to the patented invention have not been satisfied, or (b) that the patented invention is not available to the public at a reasonably affordable price, or (c) that the patented invention is not worked in India.

The patent controller sided with Natco on all three grounds, granting the licence with a royalty rate of 6% of net sales.

The Intellectual Property Appellate Board upheld the licence in March, setting up the appeal to the Bombay High Court. Speaking to Managing IP a few days after the decision, then IPAB chairperson Prabha Sridevan argued that compulsory licences are not an attack on IP rights.

“IP laws say, ‘these are the owner’s rights, and of course this means ownership and control’,” she stated. However, Sridevan pointed out that all rights are limited by law, and compulsory licenses are simply a part of that law.

The Nexavar decision has raised concerns among international drug companies that it would be the first of many compulsory licences, a fear that has been partially realised. In January, the Department of Pharmaceuticals started the process to procure compulsory licences for three more cancer drugs under section 92 of the Patents Act, which allows the government to request a compulsory licence during national emergencies. However, the Department of Industrial Policy and Promotion has denied the compulsory licence application for Roche’s Trastuzumab. Meanwhile, the decisions concerning Bristol Myers-Squibb‘s Ixabepilone and Dasatinib are still pending.

more from across site and SHARED ros bottom lb

More from across our site

Licensing chief Patrik Hammarén also reveals that the company will rename its IPR business to better reflect its role in defining standards
The acquisition of Pecher & Partners follows the firm’s earlier expansion into litigation to create a ‘one-stop shop’
News of Via Licensing Alliance launching its first semiconductor patent pool and INTA electing a new president were also among the top talking points
Submit your nominations to this year's WIBL Americas Awards by January 23
The 2026 Life Sciences EMEA Awards is now open for entries. We are looking forward to reviewing and celebrating the industry's most impressive achievements and landmarks from the past year.
The tie-up between Perkins Coie and Ashurst may generate some striking numbers, but independent IP firms need not worry yet, according to practitioners
Perkins Coie’s US patent prosecution strength could provide Ashurst with an opportunity to enter an untapped market in Australia, but it may not be easy
Mitesh Patel at Reed Smith outlines why the US Copyright Office and courts have so far dismissed AI authorship and how inventors can protect AI-generated works
Xia Zheng, founder of AFD China, discusses balancing legal work with BD, new approaches to complex challenges, and the dangers of ‘over-optimism’
A dispute involving semiconductor technology and a partner's move from Hoffman Eitle to Hoyng Rokh Monegier were also among the top talking points
Gift this article