Exploitation of Patent Laws by Large Pharmaceutical Companies

Presenter

Tiffany Pham

Campus

UMass Amherst

Sponsor

Deepika Marya, Honors College, UMass Amherst

Schedule

Session 3, 1:30 PM - 2:15 PM [Schedule by Time][Poster Grid for Time/Location]

Location

Poster Board A17, Campus Center Auditorium, Row 1 (A1-A20) [Poster Location Map]

Abstract

In the pharmaceutical sector, globalization has exacerbated the practice of exploiting patents to establish monopolies and maximize financial gains, which threatens developing nations’ access to essential medications and public health. Under the Trade-Related Aspects of Intellectual Property Rights (TRIPS) by the World Trade Organization (WTO), patents for intellectual property, such as pharmaceutical products, are valid for 20 years. However, pharmaceutical companies often obtain new or secondary patents on their already patented products, a strategy called evergreening, to extend their patent durations beyond 20 years. A study in 2017 on the 12 highest revenue-generating patent drugs found that pharmaceutical companies obtained an average of 38 years of patent protection and each drug had an average of 71 patents issued. Also, TRIPS has additional flexibilities like compulsory licensing designed to address access issues, but it is rarely issued. Contrary to what is assumed, patents do not solely protect intellectual property and encourage innovation. The findings of this research demonstrate how globalization allows pharmaceutical companies to easily navigate international markets and enforce patents across borders to foster monopolistic that prioritize profits over equitable access to medications, particularly in developing countries where healthcare resources are already limited. These monopolistic practices include delaying generic brand entry, setting high prices, and disincentivizing drug innovation. 

Keywords

Debating Globalization Seminar, Health, Globalization

Research Area

Globalization and Development

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