Teva fined $500M by EU for disparaging rival MS drug (update)

The European Commission has fined Israeli drugmaker Teva Pharmaceutical Industries (NYSE:TEVA) EUR 462.6M, or around $500M, for trying to ward off competition for its blockbuster multiple sclerosis drug Copaxone in Europe by disparaging a rival product.

The commission found that Teva misused the EU patent system to artificially extend patent protection for Copaxone, also known as glatiramer acetate, and engaged in a campaign to disparage the rival product, which was being developed by Synthon, according to The Times of Israel.

According to the EC, Teva “abused its dominant position” in its use of divisional patent applications and spreading misinformation among doctors and other healthcare decision makers about the safety, efficacy and therapeutic equivalence of the rival product.

“Teva’s (TEVA) abusive conduct had the overall objective of delaying competition and artificially prolonging the exclusivity of Copaxone by hindering the market entry and uptake of competing, cheaper glatiramer acetate medicines,” the EC said in a statement.

In a statement released Thursday, Teva said it was “deeply disappointed” by the decision and had been cooperating with the EC on the matter since 2019.

“Teva disagrees with the Commission’s legal theories which are legally untested and, Teva believes, not supported by the facts. The company will vigorously defend its position on appeal and is well prepared financially to mount a defense,” the company said in its statement.

“Teva conducts its business lawfully and ethically and has been a strong partner to Europe, its patients, economy and healthcare systems,” the company added.

(Adds comments from European Commission.)