Turkey: IP courts take an unfair approach to Bolar exemption

Managing IP is part of Legal Benchmarking Limited, 4 Bouverie Street, London, EC4Y 8AX

Copyright © Legal Benchmarking Limited and its affiliated companies 2024

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

Turkey: IP courts take an unfair approach to Bolar exemption

0d7b3149-686d-44e7-8d93-129ab025aae4turkey-bolar-exemption-min-2-final.jpg

Article 85(3)(c) of the Industrial Property Law, which excludes marketing authorisation applications from the scope of patent rights, is interpreted by the IP courts against the patent holder in a disproportionate way. The exemption covers the procedures that generic companies are required to perform before the Ministry of Health in order to obtain a marketing authorisation. It enables generic pharmaceutical companies that applied for marketing authorisation seven or eight months before the expiration of the patent protection period to continue their procedures before the Ministry of Health and to launch their generic product in the market as soon as the patent expires.

However, by interpreting this provision very broadly, the court may reject patent infringement and/or discovery of evidence requests before sales permission or reimbursement before the Social Security Institution or even before the launch of the generic pharmaceutical company in the market. The exemption provision of the law includes only the procedures related to the marketing authorisation and this exemption ends once the marketing authorisation is granted. The court also rejects patent owners' requests for pure discovery of evidence while the marketing authorisation process of the generic medicine is in progress and/or once it has been concluded.

However, pure discovery of evidence requests do not impede the authorisation process and simply allow the patent owner to determine the evidence in order to understand whether there is infringement in advance. In accordance with Ministry of Health legislation, regardless of whether there is patent infringement, the price of the patent owner's product automatically drops by 40% once the generic product comes into the market. Therefore, determining whether there is an infringement situation at an early stage will provide certainty for both the generic company and the patent owner company.

This broad and erroneous interpretation of the relevant provision has become the biggest obstacle to the exercise of patent rights. This is not fair on innovator companies which heavily invest in research and development in the pharma industry. This exemption should be evaluated in a fair manner and take into account both parties' legal interests when it comes to the purpose of the Bolar exemption.

Özge Atılgan Karakulak and Aysel Korkmaz Yatkın

more from across site and ros bottom lb

More from across our site

Panasonic aimed to coerce Xiaomi into accepting terms the court would not determine to be FRAND, according to two judges
A case heading to the England and Wales Court of Appeal raises interesting questions about the nature of the average consumer in trademark law
Barclay Damon has announced the appointment of six lawyers to its IP team, as Burns & Levinson shuts down operations
A Federal Circuit case could lead to more clarity on damages, but practitioners differ over how far constraints should go
David Hansel of Hansel Henson explains how he successfully defended two trademark cases brought by easyGroup
Andy Lee discusses how IP can encompass anything from football boots to Peppa Pig, his love for science fiction movies, and why the best lawyers are the boldest
IP and M&A partners explain how they keep tabs on referrals and why reciprocity is important for generating new business
The 2024 edition of Managing IP’s Rising Stars and Corporate Stars rankings, produced by Managing IP’s accreditation title IP STARS, is now available
Attorneys reveal how they navigate uncertainty in the CRISPR space and what developments they're watching
Jeffrey Morton, who moved to Haynes Boone in May, says he's excited about what the firm can do in San Diego as it looks to bolster its life sciences offering
Gift this article