Apotex Pty Ltd v Sanofi-Aventis Australia Pty Ltd & Ors

The High Court of Australia considered an appeal concerning alleged breaches of an undertaking given in interlocutory proceedings. Apotex Pty Ltd (Apotex) was the appellant, and Sanofi-Aventis Australia Pty Ltd and others (Sanofi) were the respondents. The dispute arose from Apotex's alleged contravention of an undertaking given to the court in earlier proceedings, which related to the importation and sale of certain pharmaceutical products.

The central legal issue before the High Court was whether Apotex had breached its undertaking to Sanofi. This undertaking was given in the context of proceedings where Sanofi sought interlocutory relief to prevent Apotex from infringing its patent rights. The specific question was whether Apotex's actions in importing and selling the relevant pharmaceutical products constituted a breach of the terms of that undertaking.

The High Court analysed the nature and scope of the undertaking given by Apotex. It considered the ordinary meaning of the words used in the undertaking and the context in which it was given. The Court determined that the undertaking was intended to provide a specific form of protection to Sanofi during the period before the final determination of the patent dispute. By engaging in the conduct that was the subject of the proceedings, Apotex had acted in a manner that the Court found to be inconsistent with the plain meaning and intended effect of its promise to the court. The Court applied principles of contractual interpretation to the undertaking, treating it as a binding promise.

The High Court found that Apotex had breached its undertaking and accordingly dismissed the appeal.