Canadian Parliament Backs C-91

Canada's federal parliamentary committee reviewing 1993's Bill C-91Patent Act amendments (Marketletters passim) has come out in favor of retaining 20 years' patent protection for brand-name drugs. In its final report, the standing committee on industry states that Canada "should remain committed to our international trade obligations."

The report, issued days before a federal election call, also requires the government to "revisit" C-91's controversial Notice of Compliance Regulations, which govern the procedure under which a generic firm can apply to make a patent-expired drug. At present, Health Canada can block the generic if the brand-name firm claims patent infringement. The committee felt that evidence from both sides suggested the system "is problematic and has resulted in excessive litigation" but, said committee chairman David Walker of the ruling Liberal Party, it decided not to recommend immediate repeal because it does not want the government to rush into making major changes without careful consideration of all the options.

Industry Reaction For the research-based industry, the Pharmaceutical Manufacturers Association of Canada welcomed the report's findings on patent protection, but was disappointed with its failure to make specific recommendations regarding the compliance regulations. The Canadian Drug Manufacturers Association, which represents the generics industry, called the publication a "non-report," which offers no solutions to the problem of rising drug costs.