The Patent Of The Pharmaceutical Industry

Critics have pointed a finger at the unethical use of intellectual property in the pharmaceutical industry claiming it is being used to set prices far above what those in third world countries can afford. Given that a good number of the raw material came from these regions, it is unethical to use intellectual property

This topic is important because I stated before there are other human beings out there that are dying and instead of getting the treatment they need they are forced to live with the disease until they die, and pharmaceutical companies are now charging an arm and a leg. Take the medication Daraprim, a medication that is given to AIDs patients it used to cost a dollar a pill something that most individuals could pay, that was until 2010 when the company CorePharma bought the rights and started charging 13.50 a pill. (CNN Money) This amount is still semi reasonable for individuals in America, while those in Africa well if they couldn’t pay for it before then they certainly won’t be able to buy it now. (CNN Money) CorePharma was once lead by Martin Shkreli the man who is now awaiting sentencing because he was charged with fraud and conspiracy (Business Insider). This same man raised the medication again from thirteen dollars and fifteen cents up to seven hundred fifty dollars a pill, that is a five-hundred percent increase. (CNN Money). They then dropped the price in half so now pill costs

Some pharmaceutical companies are feeling grief from a decline in research slump but the issues are more serious in reference to the United States intellectual property laws on which these same companies need to inflate their profits. Maybe the focus should be on an idea that came about several years ago. Give drug patents a shorter term of 15 years but don’t start the clock until the FDA approves the drug.

2. Patent related and Generic Competition: The developed countries like US and Europe have strong patent protection laws which gives a lot of benefits for the pharmaceutical companies. But, the patent

Protection of intellectual property are investments based on acquired knowledge, thought and effort by one or multiple individuals on behalf of themselves, the business they work for when the property is created, and a financial investment. Each of these – acquired knowledge, thought, physical effort, financial investment – have a value that can be attached as it relates the usefulness or importance of the resulting product. That value will have a level of importance to the individual(s) creating the product and if applicable, the investor providing the funds in support of the creation.

Secondly, it reduces the time for patient’s evaluation. Due to DTC, drug companies are rarely encouraged to research and evaluate the effect of drugs on patients. The companies do not research enough to evaluate the side effects of drugs before the drug administration. This will cause crucial damages to patient’s health. Same is the case facing by PharmaCARE who had to face negative consequences of drugs because the company was having lack of research before administrating the drug. Due to direct marketing, patents do not feel the need for taking doctor opinion and take self-treatment which sometime cause risk to patients life.

An Introduction to the Law and Economics of Intellectual Property Author(s): Stanley M. Besen and Leo J. Raskind Reviewed work(s): Source: The Journal of Economic Perspectives, Vol. 5, No. 1 (Winter, 1991), pp. 3-27 Published by: American Economic Association Stable URL: http://www.jstor.org/stable/1942699 . Accessed: 24/11/2011 08:39

1. Do pharmaceutical companies have a responsibility to distribute drugs for free or at low cost in developing countries? What are the main arguments for and against such an approach? What are the advantages and disadvantages of giving drugs for free versus offering them at low no-profit prices?

In 1970 the government passed two new regulations that has effect on the pharmaceutical industry. “The India Patent Act prohibited

Physicians regularly published in the Canada Lancet their opinions on quacks and patent medicine purveyors calling them “traffickers in human life” who were “unlicensed and unqualified to practise medicine” (The Canada Lancet 1871, 1875). “The advertising quack...is the black wolf, aye, the Bengal tiger of the profession...He is full of shrewdness and cunning, and knows poor, weak human nature like a book” (King 1882; Young 1961). They called for the closer supervision of chemists and druggists, a more thorough registration of births and miscarriages, a restriction of patent medicine advertising, and the reporting of all requests for an abortion.

The World Intellectual Property Organization (n.d.) helps one understand the importance of protecting intellectual property. They have spelled out several reasons of this importance including inventing new works in technology and culture, which allows progress to be made that, can be utilized worldwide. In addition, the legal protection of intellectual property encourages the commitment of additional resources for further modernization. Finally, promoting and protecting intellectual property encourages economic growth. It creates new jobs and industries. Protecting intellectual property also enhances the quality and

Therefore, protection of patents is one of the key conditions necessary for further development of the pharmaceutical industry. At the same time, non-efficient legislation that does not provide the necessary level of patent protection is one of the factors that hamper expansion of “Big Pharmaceutical” companies to the developing countries8.

A compulsory license is an authorization given by a national authority granted without the permission of the patent/IPR holder. Historically speaking, a compulsory license can be invoked on one of the various grounds, and should be issued on a case-by-case basis. Using compulsory license is one of the flexibilities retained under TRIPS, and hence permitting Member States to determine the appropriate circumstances within certain limits. Particularly, compulsory licensing provisions in India have been under criticism regarding compliance with international treaties. The Indian Patent Act does not confine the grounds to public health needs only. The grounds and types of compulsory license under the Indian Patent Act are listed in Table 3 succinctly. This part would discuss the failure of working (non-working), the especially contested grounds in the following passages.

A number of African countries have been the worst hit by the spective of AIDS. CIPLA an Indian Pharmaceutical Company has offered to market ant aids medicine at one length the cost at which it is sold by global pharmaceutical firm. However due to the product patent, law, substantial controversy has been generated around the globe on ethical grounds

In order to ensure that national level regimes for preventing bio-piracy and ensuring benefit sharing arrangements are effectively implemented and are not violated when use or commercialization of TK takes place outside the country, suggestions have been made by India in international fora under the aegis of CBD as well as WTO, that applications for patents should disclose the following:• The source of knowledge and biological material; and• an undertaking that the prevalent laws and practices of the country of origin have been fully respected.