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UK competition: CAT sets aside CMA prochlorperazine pay-for-delay infringement decision; CMA refers veterinary services market; Subsidy Advice Unit issues Green Volt advice; upcoming dates

Published on: 23 May 2024

Published by a LexisNexis Competition expert
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Antitrust CAT upholds appeal and sets aside CMA’s infringement decision regarding supply of prochlorperazine 3mg buccal tablets

The CAT has delivered its judgment in (1) Advanz Pharma Corp. Limited and others, (2) Cinven Capital Management (V) General Partners Limited and others, (3) Lexon (UK) Limited and another and (4) Alliance Pharmaceuticals Limited and another v CMA, arising from an appeal brought against the CMA’s decision dated 3 February 2022, which levied fines exceeding £35m on Alliance, Focus, Lexon and Medreich for infringing Chapter I of the Chapter Competition Act by coordinating not to compete in the UK supply of 3mg buccal tablets. According to the CMA, Alliance and Lexon had concluded a ‘pay for delay’ arrangement concerning the tablets (the Market Exclusion Agreement (MEA)), whose object was to restrict competition. Under that arrangement, Lexon agreed it would refrain from competing with Alliance in supplying tablets that Medreich manufactured for Lexon, in exchange for compensation from Alliance. The mechanism for this understanding was said to be distribution agreements that Alliance and Lexon entered into with Focus. The CMA further determined that both Focus and Medreich took part in the MEA. Each of the appellants disputed any involvement in the supposed MEA...

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