International law firm CMS has advised Alliance Pharma Plc and Alliance Pharmaceuticals Limited (“Alliance”) on its successful appeal before the Competition Appeal Tribunal (“CAT”) of a decision by the UK Competition and Markets Authority.
In a unanimous judgment published on 23 May 2024, the CAT upheld Alliance’s appeal, finding that there was no agreement to exclude competition from the market and no breach of competition law. The CMA’s decision and £7.9m penalty imposed on Alliance have been set aside. In particular, the CAT found that Alliance's two key witnesses were both impressive and compelling, with their evidence singled out by the Tribunal in its concluding remarks. Director disqualification proceedings brought by the CMA against two former Alliance CEO’s, the first limb of which was joined to the appeal, will also now fall away.
Brian Sher, Head of Antitrust, Competition and Trade at CMS, commented “The judgment is a resounding victory for Alliance following a 4-year investigation and 2-year appeal process. Alliance played the central role in the appeal as the brand owner and incumbent supplier of the product. The case will have significant ramifications for the way in which the CMA discharges its burden of proof, including the leading of witnesses in circumstances where the evidence is ambiguous or otherwise favours the appellant.”
The CMS team was led by Brian Sher, assisted by Kabir Garyali and Lucy Charatan. CMS retained Sarah Ford KC and Sarah Bousfield of Brick Court Chambers before the CAT. Oxera Consulting also advised.
A link to the CAT’s judgment can be found here: Prochlorperazine (1432;1434;1438-1439) - Judgment | 23 May 2024 (catribunal.org.uk)
