Merck Unit, Sun Pharma File Suit Against Glenmark



NEW DELHI--A unit of Merck & Co. and Sun Pharmaceutical Industries Ltd. 524715.BY +0.32% have filed a patent-infringement lawsuit in India against Glenmark Pharmaceuticals Ltd. 532296.BY +0.20% over an anti-diabetes drug. 

This is the latest among a series of legal disputes in India between multinational pharmaceutical companies which want to protect their patents and local generics drug makers that sell cheaper versions of drugs. In this case, the lawsuit is over a drug to treat a chronic disease, unlike in most cases where the disputes are over live-saving medicines. 

In a landmark verdict this week, India's Supreme Court rejected Novartis AG's NOVN.VX -0.30% attempt to win patent protection for Glivec, a major cancer drug. the judgment was roundly criticized by foreign pharmaceutical companies but praised by public-health activists, who said it would protect India's ability to make inexpensive generics for the developing world. 

In its suit filed in the Delhi High Court, Merck Sharp and Dohme Corp. said Glenmark's drug infringed on the patents of its products branded JANUVIA and JANUMET. 

Merck is known outside the U.S. and Canada as Merck Sharp and Dohme Corp. or MSD. MSD India is the local unit. 

"We believe our patents for JANUVIA and JANUMET are valid and enforceable and will vigorously defend them," it said in a statement Wednesday. 

Sun Pharmaceuticals said it has joined MSD's suit against Glenmark. 

Sun Pharmaceuticals, India's biggest pharmaceutical company by market capitalization, last year signed a license agreement with U.S.-based Merck to market the drug in India under the brand name Istavel Istamet. 

In a statement Wednesday, Glenmark said it has not infringed on the patents. 

The company said it "respects patent laws" and that it launched the drug, sitagliptin, "after due diligence and research." The statement didn't provide details. 

Foreign pharmaceutical companies see a huge potential in the South Asian nation, but at the core of most disputes are issue of patent protections. 

Consulting firm PricewaterhouseCoopers forecasts India's pharmaceutical market to grow to at least $48.8 billion in sales by 2020 from about $11 billion last year. A large chunk of the sales currently come from low-cost generics produced by local companies.

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