Competition Monthly ' November 2025 Edition

• Published date: 14 November 2025
• Law Firm: Phoenix Legal
• Author: Phoenix Legal

NCLAT RULES THAT CCI HAS NO POWER TO INVESTIGATE PATENT DISPUTES

The National Company Law Appellate Tribunal (NCLAT), by its order dated 30 October 2025, dismissed an appeal challenging an order of the Competition Commission of India (CCI) closing a case against Vifor International (AG) under Section 26(2) of the Competition Act, 2002 (Act).

The appellant, CEO of a hospital providing dialysis services under a government programme, had alleged that Vifor International, the Swiss developer and patent holder of the drug Ferric Carboxymaltose (FCM) used in treating iron deficiency anaemia, is engaged in anticompetitive practices by limiting access and keeping prices high. It was alleged that Vifor's exclusive licensing arrangements with Emcure Pharmaceuticals Ltd. and Lupin Ltd. violated Sections 3 and 4 of the Act.

The CCI, by its order dated 25 October 2022, found no prima facie contravention, observing that the licensing terms appeared reasonable and that the agreements were limited in duration. It also noted that the patent on FCM had been due to expire in 2023, after which the molecule would be freely available.

NCLAT dismissed appeal against the CCI order. NCLAT also held issues concerning exercise of patent rights fall within the exclusive domain of the Patents Act, 1970, and not the Competition Act. Relying on the Delhi High Court's judgment in Telefonaktiebolaget LM Ericsson (PUBL) v. CCI and Supreme Court in September 2025 ' the NCLAT held that the Patents Act prevails as a special statute over the Competition Act in matters involving alleged abuse of patent rights.

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