CAT hands down excessive pricing judgment in Phenytoin litigation

21/11/24

The CAT has reached judgment in the long-running Phenytoin litigation, setting aside the CMA’s Decision and remaking it, upholding seven of the eight infringements alleged.

The CMA first found infringements in the pricing of phenytoin sodium capsules (used for the treatment of epilepsy) in December 2016.  That decision was appealed by Pfizer and Flynn and set aside by the CAT (which was upheld by the Court of Appeal).  It was thereafter remitted to the CMA. 

The CMA’s further decision of July 2022 again found four infringements in respect of each of the 25mg, 50mg, 100mg and 300mg capsules, and fined Pfizer £63,300,000 and Flynn £6,704,422.

The Tribunal upheld the appeals of each of Pfizer and Flynn challenging that decision, and it was set aside on the basis of the material errors identified.  However, the Tribunal  exercised its jurisdiction to remake the Decision and found that all four infringements alleged against Flynn were made out, and that three of the four infringements alleged against Pfizer were made out (but that Pfizer’s prices for the 25mg Capsules did not infringe the Chapter II prohibition). The Tribunal imposed a fine of £62,370,000 on Pfizer and a fine of £6,704,422 on Flynn.   

The judgment is here.