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EU competition update: CJEU upholds Teva/Cephalon pay-for-delay fines; AG opinions on business email seizures and German CHP aid; merger clearances; KLM State aid appeals (23/10/2025)

Published on: 23 October 2025

Published by a LexisNexis Competition expert
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Article summary

Antitrust CoJ dismisses Teva and Cephalon’s appeal against ‘pay-for-delay’ fines

The Court of Justice has handed down its ruling in Case C‑2/24 P, Teva Pharmaceutical Industries and Cephalon v Commission, concerning an appeal from the General Court’s judgment in Case T‑74/21. That earlier ruling upheld the Commission’s 2020 decision levying fines on Teva and Cephalon for a pay‑for‑delay arrangement that postponed the launch of a generic version of modafinil. The Court of Justice rejected the appeal in full.

Background

In 2005, Cephalon, a pharmaceutical company, owned patents linked to the medicine modafinil. Teva, as a generic producer, aimed to enter with a competing modafinil generic. Disputes followed between the firms alleging patent infringement. Later that year, they settled: Teva agreed neither to market its generic modafinil nor to contest Cephalon’s patents, in return for substantial monetary transfers and other commercial advantages from Cephalon.

Commission’s decision

In 2011, the Commission opened a probe into the settlement to determine whether it amounted to an anti‑competitive pay‑for‑delay deal. In 2020, it found the arrangement restricted competition by object, contrary to Article 101 TFEU...

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