Pharma industry fiercely criticises Lundbeck fine

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

Pharma industry fiercely criticises Lundbeck fine

The European Federation of Pharmaceutical Industries Associations (EFPIA) has criticised the European Commission’s decision to fine Lundbeck and other companies a total of €146 million

On Wednesday, Commissioner Joaquin Almunia said the Commission was fining nine companies over pay-for-delay agreements relating to Lundbeck’s anti-depressant drug citalopram (branded as Celexa or Cipramil).

Lundbeck was accused of paying generic rivals not to sell generic versions of the drug. It was fined €93.8 million. Other companies fined included Merck KGaA, Generics UK (part of Mylan) and Ranbaxy.

Lundbeck immediately said it would appeal the fine. “There is no question about the validity of Lundbeck's process patents at issue. Patent settlement agreements are efficiency enhancing and legitimate when there are bona fide grounds for dispute,” it said.

The EFPIA said it and its members were “concerned” about the decision, and added that it would prolong patent litigation and undermine confidence in the patent system.

EFPIA Director General Richard Bergström said: “The EU patent system is still a mess. It is no surprise that companies settle to save legal fees and uncertainty”. He called for a full policy debate in the Commission.

The European Generic Medicines Association did not immediately comment on the decision.

In his statement, Almunia said the “overwhelming majority” of patent settlement agreements are entirely legitimate, but ominously added: “Paying competitors to stay out of the market at the expense of European citizens has nothing to do with the legitimate protection of intellectual property: it is an illegal practice and the Commission will fight against it. We have other investigations ongoing and more decisions in this field are likely before the end of my mandate.”

The US Supreme Court last week ruled in a pay-for-delay case involving Actavis, saying that reverse-payment deals are not automatically illegal, and must be judged case-by-case.

more from across site and SHARED ros bottom lb

More from across our site

A decision on a licensing rate payable by Warner Bros and Paramount, and a survey outlining UK businesses’ lack of IP preparation ahead of launching abroad, were among other major talking points
A fresh wave of deals highlights why investors favour IP firms and why independent outfits may soon have to rethink their strategy
King & Spalding has now hired 15 partners from Winston Taylor and legacy firm Winston & Strawn in offices spanning Texas, San Francisco, and Chicago
Firm says its work with a biotech client could signal a sea change in how - and when - law firms enter the drug development process
Evan Lazerowitz, attorney in Robinson + Cole’s bankruptcy and reorganisation group, offers key takeaways for IP interested parties in bankruptcy and insolvency proceedings
While the UK sees heavy IP rankings movement, Germany’s new tiered UPC table signals a shift from early adoption to market maturity
In an exclusive interview, Bernard Ledeboer reveals how a Consolid-backed group of firms wants to expand across Europe, invest in AI and centralise operations to compete at the top tier
Not all private equity firms are the same, so leaders at four externally backed IP firms came together to discuss the frameworks they followed and how they ensured a cultural fit
Top-tier German and Spanish firms are among the advisers on a Europe-wide copyright and licensing tussle concerning the design of the track circuit in Madrid
Partners Alex Wilson and Andreas Kramer say bigger law firm rivals don’t necessarily gain by having a wider jurisdictional reach
Gift this article