Court sees GSK patent deal as 'contrary to EU competition law'

A European Court of Justice judge has found that a deal between UK pharma major GlaxoSmithKline (LSE: GSK) and generics companies can be deemed a breach of competition law.

The agreement, which relates to GSK’s patent for the active ingredient of the anti-depressant paroxetine and secondary patents protecting particular manufacturing processes of that active ingredient, may be regarded as a restriction of competition and as an abuse of a dominant position, found Advocate General Juliane Kokott.

Generics firms 'paid not to enter the market'