Rationale of Compulsory Licensing of Pharmaceutical Patents in the Light of Human Rights Perspective

Abstract

Patents render prices of patented products unaffordable for general masses because of the 20 years monopoly granted to owner of the patent to manufacture, sell, and import the patented product. Overpricing caused by monopoly rights has serious human rights implications in case of pharmaceutical patents especially in situations of public health crisis. Compulsory licensing of patents has been provided under TRIPS Agreement as a legitimate safeguard to check abuse of monopoly and to deal with special situations of public health crisis. First part of this paper discusses relationship of TRIPS and the human right to health as TRIPS Agreement for the first time made it mandatory to protect all innovations including pharmaceuticals. Second part of this paper discusses rationale of compulsory licensing of pharmaceutical patents in the light of Indian case Bayer Corporation v. Natco Pharma Limited. Last part of this paper concludes the discussion.