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 2026

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

Latham & Watkins bolstered its IP litigation bench in California with the addition of Kieran Kieckhefer, as partner demand for trial-ready expertise shows no sign of slowing
With the launch of a new patent eligibility AI tool, Sterne Kessler is leading a growing movement of law firms taking AI development into their own hands
UPC cases are (very) gradually becoming more distributed across other local divisions outside Germany, which can only be good news for the pan-European forum
Clarification concerning jurisdictional reach and latest stats released by the court were also among the top talking points in recent weeks
Although unanimous decision by the top court clarifies several aspects of the honest concurrent use defence, practitioners say ambiguities remain
Tristan Sherliker says he hopes to solve an access to justice issue by making the automated court bundle tool free to use
The team, comprising two partners and one senior consultant, plans to offer “highly differentiated” services to clients
HGF’s new ownership model frees it from the hiring constraints of traditional partnerships, its CEO told Managing IP
New timeline for 2026 aims to provide clearer guidance to firms and practitioners on the full jurisdictional market view
Attorneys contemplate whether clients using AI for legal guidance is beneficial to attorney-client relationships or more of a nuisance
Gift this article