EU, AstraZeneca both claim legal win
June 18, 2021
A Belgian court on Friday ordered AstraZeneca to deliver 50 million additional COVID-19 vaccine doses to the European Union according to a strict timetable, or face a fine.
The European Commission had taken AstraZeneca to court in a bid to force the drug giant to deliver 90 million more doses of its coronavirus vaccine before July.
Both the European Commission and the Anglo-Swedish pharmaceutical company have claimed Friday's ruling to be a victory.
What did the court rule?
AstraZeneca committed a "serious breach" of its contract with the European Commission, the court ruled.
The court said AstraZeneca must deliver 15 million doses by July 26, another 20 million by August 23 and another 15 million by September 27, for a total of 50 million doses.
According to the ruling, AstraZeneca will deliver a total of 80.2 million doses to the EU from the time the contract was agreed up until September 27. The company is likely to meet the court's order with ease as it had already supplied 70 million doses.
The EU had sought 90 million doses in the second quarter.
If AstraZeneca misses those deadlines, it will face a fine of "€10 [$11.8] per dose not delivered," the European Commission said. The EU had asked for a penalty of €10 per dose per day.
The court also found the EU had no right over other parties AstraZeneca had contact with, the drugmaker said.
The EU had accused AstraZeneca — which worked with Oxford University to develop its vaccine — of favoring the United Kingdom in its deliveries.
An EU lawyer told reporters that AstraZeneca would remain bound to do its best to deliver 300 million doses to the EU, without a precise timetable.
A new hearing could be held in September if the European Commission is not satisfied.
What did AstraZeneca say?
The pharmaceutical giant hailed the ruling, saying that the court "acknowledged that the difficulties experienced by AstraZeneca in this unprecedented situation had a substantial impact on the delay."
"AstraZeneca has fully complied with its agreement with the European Commission and we will continue to focus on the urgent task of supplying an effective vaccine," the company said. "AstraZeneca now looks forward to renewed collaboration with the European Commission to help combat the pandemic in Europe."
The company had committed in a contract with the EU to do its best to deliver 300 million doses to the 27-nation bloc by the end of June.
However, production issues led the company to revise its target to 100 million.
What about the European Commission?
"This decision confirms the position of the Commission: AstraZeneca did not live up to the commitments it made in the contract," said European Commission President Ursula von der Leyen.
Von der Leyen said on Twitter about the ruling: "Good results for Europe!"
Last month, the EU filed a second lawsuit against AstraZeneca, seeking financial penalties for the delays to vaccine supply.
An EU lawyer cited by Reuters news agency said the Commission was yet to decide whether it would press ahead with the second case.
Supply cuts hampered the EU's vaccination drive in the first quarter of the year when the bloc had initially relied on AstraZeneca to deliver most of its shots.
fb/msh (AP, dpa, Reuters)