In an effort to tackle patent thickets and reduce the cost of pharmaceutical drugs, US Senators Peter Welch (D-VT) and Amy Klobuchar (D-MN) recently hosted a bipartisan panel discussion to present a new legislation. The panel, entitled ‘Breaking Down Big Pharma Patent Walls’, was held at the Russell Senate Office Building on Capitol Hill.
Understanding the complexity of patent thickets is crucial in order to grasp the issue at hand. Essentially, it’s the practice of a company holding multiple patents on the same drug to extend the limited monopoly beyond the standard 20-year life cycle of a patent. For instance, they can copyright the color or name of the drug for the same purpose. According to the panel, this practice pervades the industry, causing difficulties in accessibility and affordability of drugs, specifically caught attention during the discussion was AbbVie’s Humira prescription, holding 166 patents, costing below $4,000 a dose in the US compared to $2,700 in other countries.
This new targeted legislation intends to limit a company’s ability to assert multiple patents during litigation to just one. Senator Welch emphasized that this rule has already found application in several lower courts across the country. Furthermore, it was highlighted that the public is paying the price for the prevailing patent system. In his brief speech, Welch pointed out that the US spends more on prescription drugs than any other country in the world.
In addition to the lawmakers, the panel also featured testimonial from young adults living with chronic health conditions who stressed the financial burden of high-cost pharmaceuticals on patients and their families. Sneha Dave, the Executive Director of Generation Patient, and Jacqueline Garibay, a patient advocate spoke at length about the hardships faced because of high-cost prescription drugs. Support was voiced for the new legislation for its potential to expedite access to cheaper, generic alternatives and biologics.
Senator Klobuchar’s position on the matter was that patent thicketing “undermines innovation” and must be addressed to restore integrity to the patent system. For further context, she referred to a New York Times investigation that accused AbbVie of exploiting the patent system for financial gain.
Notably, the Biden Administration issued guidelines last year on the appropriate use of march-in rights offered by federal agencies, whereby access to patents of high-cost drugs can be sold to other companies to introduce cheaper alternatives. While this power remains as yet unused, its potential role in the fight against escalating prescription drug prices cannot be ignored.
Despite the complexity of the issue and the daunting task ahead, there remains an air of determination and positive expectation within the pioneering group of lawmakers. “With the bipartisan, pro-competition nature of the bill, our shared hope is that it will move quickly through the legislative process in both chambers”, stated Senator Welch’s office.
A more detailed coverage of this panel discussion can be found here.