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World EU takes on AstraZeneca in court over vaccine deliveries

13:20  26 may  2021
13:20  26 may  2021 Source:   msn.com

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BRUSSELS (AP) — The European Union took on vaccine producer AstraZeneca in a Brussels court on Wednesday with the urgent demand that the company needs to make an immediate delivery of COVID-19 shots the bloc insists were already due.

Lawyers for the European Commission, left, and AstraZeneca right, prepare arguments during a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. While the EU insists AstraZeneca has breached its contractual obligations, the company says it has fully complied with the agreement, arguing that vaccines are difficult to manufacture and it made its best effort to deliver on time. the European Union's executive branch will try to persuade a Brussels court Wednesday that the case is urgent enough to justify ordering the company to make an immediate delivery of the missing shots. (AP Photo/Virginia Mayo) © Provided by Associated Press Lawyers for the European Commission, left, and AstraZeneca right, prepare arguments during a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. While the EU insists AstraZeneca has breached its contractual obligations, the company says it has fully complied with the agreement, arguing that vaccines are difficult to manufacture and it made its best effort to deliver on time. the European Union's executive branch will try to persuade a Brussels court Wednesday that the case is urgent enough to justify ordering the company to make an immediate delivery of the missing shots. (AP Photo/Virginia Mayo)

AstraZeneca’s contract signed with the European Commission, the EU's executive arm, on behalf of member states foresaw an initial 300 million doses for distribution among all 27 countries, with an option for a further 100 million. The doses were expected to be delivered throughout 2021. But only 30 million were sent during the first quarter.

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Lawyer for AstraZeneca Clemence Van Muylder waits for the start of a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. The European Union took on vaccine producer AstraZeneca in a Brussels court on Wednesday with the urgent demand that the company needs to make an immediate delivery of COVID-19 shots the 27-nation bloc insists were already due. (AP Photo/Virginia Mayo) © Provided by Associated Press Lawyer for AstraZeneca Clemence Van Muylder waits for the start of a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. The European Union took on vaccine producer AstraZeneca in a Brussels court on Wednesday with the urgent demand that the company needs to make an immediate delivery of COVID-19 shots the 27-nation bloc insists were already due. (AP Photo/Virginia Mayo)

Deliveries have increased slightly since then but, according to the European Commission, the company is set to provide only 70 million doses in the second quarter. It had promised 180 million.

Lawyer for AstraZeneca Hakim Boularbah speaks with the media prior to a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. The European Union took on vaccine producer AstraZeneca in a Brussels court on Wednesday with the urgent demand that the company needs to make an immediate delivery of COVID-19 shots the 27-nation bloc insists were already due. (AP Photo/Virginia Mayo) © Provided by Associated Press Lawyer for AstraZeneca Hakim Boularbah speaks with the media prior to a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. The European Union took on vaccine producer AstraZeneca in a Brussels court on Wednesday with the urgent demand that the company needs to make an immediate delivery of COVID-19 shots the 27-nation bloc insists were already due. (AP Photo/Virginia Mayo)

EU lawyer Rafael Jafferali told the court that the company now expects to deliver the total number of doses by the end of December, but he added that “with a six-month delay, it’s obviously a failure."

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His main argument is that AstraZeneca should have used production sites in the bloc and the U.K. for EU supplies as part of a "best reasonable effort” clause in the contract. He said that 50 million doses that should have been delivered to the EU went to third countries instead, “in violation” of their contract.

Jafferali has said that the company should use all four plants listed in their contract for deliveries to the EU.

He also accused the company of misleading the European Commission by providing data lacking clarity on the delivery delays.

“The information provided by AstraZeneca did not allow us to fully understand the situation before mid-March 2021,” he said.

The EU has insisted its gripes with the company are about deliveries only and has repeatedly said that it has no problems with the safety or quality of the vaccine itself. The shots have been approved by the European Medicines Agency, the EU's drug regulator.

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While the bloc insists AstraZeneca has breached its contractual obligations, the company says it has fully complied with the agreement, arguing that vaccines are difficult to manufacture and it made its best effort to deliver on time.

Lawyers for the company will address the court later Wednesday.

As part of an advanced purchase agreement with vaccine companies, the EU said it invested 2.7 billion euros ($3.8 billion), including 336 million ($408 million), to finance the production of AstraZeneca’s serum at four factories.

Lawyers for AstraZeneca Clemence Van Muylder, right, and Hakim Boularbah, left, wait for the start of a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. The European Union took on vaccine producer AstraZeneca in a Brussels court on Wednesday with the urgent demand that the company needs to make an immediate delivery of COVID-19 shots the 27-nation bloc insists were already due. (AP Photo/Virginia Mayo) © Provided by Associated Press Lawyers for AstraZeneca Clemence Van Muylder, right, and Hakim Boularbah, left, wait for the start of a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. The European Union took on vaccine producer AstraZeneca in a Brussels court on Wednesday with the urgent demand that the company needs to make an immediate delivery of COVID-19 shots the 27-nation bloc insists were already due. (AP Photo/Virginia Mayo)

The long-standing dispute drew media attention for weeks earlier this year amid a deadly surge of coronavirus infections in Europe, when delays in vaccine production and deliveries hampered the EU’s vaccination campaign.

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Cheaper and easier to use than rival shots from Pfizer-BioNTech, the AstraZeneca vaccine developed with Oxford University was a pillar of the EU's vaccine rollout. But the EU’s partnership with the firm quickly deteriorated amid accusations it favored its relationship with British authorities.

Lawyer for the European Commission Charles Edouard Lambert waits for the start of a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. While the EU insists AstraZeneca has breached its contractual obligations, the company says it has fully complied with the agreement, arguing that vaccines are difficult to manufacture and it made its best effort to deliver on time. the European Union's executive branch will try to persuade a Brussels court Wednesday that the case is urgent enough to justify ordering the company to make an immediate delivery of the missing shots. (AP Photo/Virginia Mayo) © Provided by Associated Press Lawyer for the European Commission Charles Edouard Lambert waits for the start of a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. While the EU insists AstraZeneca has breached its contractual obligations, the company says it has fully complied with the agreement, arguing that vaccines are difficult to manufacture and it made its best effort to deliver on time. the European Union's executive branch will try to persuade a Brussels court Wednesday that the case is urgent enough to justify ordering the company to make an immediate delivery of the missing shots. (AP Photo/Virginia Mayo)

While the U.K. made quick progress in its vaccination campaign thanks to the AstraZeneca shots, the EU faced embarrassing complaints and criticism for its slow start.

Concerns over the pace of the rollout across the EU grew after AstraZeneca said it couldn't supply EU members with as many doses as originally anticipated because of production capacity limits.

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The health situation has dramatically improved in Europe in recent weeks, with the number of COVID-19 hospitalizations and deaths on a sharp downward trend as vaccination has picked up. About 300 million doses of vaccine have been delivered in Europe — a region with around 450 million inhabitants, with about 245 million already administered.

Lawyer for the European Commission Alain Foriers waits for the start of a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. While the EU insists AstraZeneca has breached its contractual obligations, the company says it has fully complied with the agreement, arguing that vaccines are difficult to manufacture and it made its best effort to deliver on time. the European Union's executive branch will try to persuade a Brussels court Wednesday that the case is urgent enough to justify ordering the company to make an immediate delivery of the missing shots. (AP Photo/Virginia Mayo) © Provided by Associated Press Lawyer for the European Commission Alain Foriers waits for the start of a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. While the EU insists AstraZeneca has breached its contractual obligations, the company says it has fully complied with the agreement, arguing that vaccines are difficult to manufacture and it made its best effort to deliver on time. the European Union's executive branch will try to persuade a Brussels court Wednesday that the case is urgent enough to justify ordering the company to make an immediate delivery of the missing shots. (AP Photo/Virginia Mayo)

About 46% of the EU population have had at least one dose.

Lawyers for the European Commission Charles Edouard Lambert, right, and Fanny Laune speak prior to a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. While the EU insists AstraZeneca has breached its contractual obligations, the company says it has fully complied with the agreement, arguing that vaccines are difficult to manufacture and it made its best effort to deliver on time. the European Union's executive branch will try to persuade a Brussels court Wednesday that the case is urgent enough to justify ordering the company to make an immediate delivery of the missing shots. (AP Photo/Virginia Mayo) © Provided by Associated Press Lawyers for the European Commission Charles Edouard Lambert, right, and Fanny Laune speak prior to a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. While the EU insists AstraZeneca has breached its contractual obligations, the company says it has fully complied with the agreement, arguing that vaccines are difficult to manufacture and it made its best effort to deliver on time. the European Union's executive branch will try to persuade a Brussels court Wednesday that the case is urgent enough to justify ordering the company to make an immediate delivery of the missing shots. (AP Photo/Virginia Mayo)

In total, the European Commission has secured more than 2.5 billion of vaccine doses with various manufacturers. It recently sealed another major order with Pfizer and BioNTech through 2023 for an additional 1.8 billion doses of their COVID-19 shot to share between the bloc’s countries.

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Lawyers for the European Commission from left, Rafael Jafferali , Charles Edouard Lambert and Alain Foriers carry documents as they arrive for a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. While the EU insists AstraZeneca has breached its contractual obligations, the company says it has fully complied with the agreement, arguing that vaccines are difficult to manufacture and it made its best effort to deliver on time. the European Union's executive branch will try to persuade a Brussels court Wednesday that the case is urgent enough to justify ordering the company to make an immediate delivery of the missing shots. (AP Photo/Virginia Mayo) © Provided by Associated Press Lawyers for the European Commission from left, Rafael Jafferali , Charles Edouard Lambert and Alain Foriers carry documents as they arrive for a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. While the EU insists AstraZeneca has breached its contractual obligations, the company says it has fully complied with the agreement, arguing that vaccines are difficult to manufacture and it made its best effort to deliver on time. the European Union's executive branch will try to persuade a Brussels court Wednesday that the case is urgent enough to justify ordering the company to make an immediate delivery of the missing shots. (AP Photo/Virginia Mayo)

Following Wednesday’s hearing, a second one is slated for Friday, with a judgment to be delivered at a date to be announced. In addition to the emergency action, the European Commission has launched a claim on the merits of the case for damages for which a hearing hasn't yet been set by the court.

Documents are placed on a table in the courtroom prior to a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. While the EU insists AstraZeneca has breached its contractual obligations, the company says it has fully complied with the agreement, arguing that vaccines are difficult to manufacture and it made its best effort to deliver on time. the European Union's executive branch will try to persuade a Brussels court Wednesday that the case is urgent enough to justify ordering the company to make an immediate delivery of the missing shots. (AP Photo/Virginia Mayo) © Provided by Associated Press Documents are placed on a table in the courtroom prior to a hearing, European Commission vs AstraZeneca, at the main courthouse in Brussels, Wednesday, May 26, 2021. While the EU insists AstraZeneca has breached its contractual obligations, the company says it has fully complied with the agreement, arguing that vaccines are difficult to manufacture and it made its best effort to deliver on time. the European Union's executive branch will try to persuade a Brussels court Wednesday that the case is urgent enough to justify ordering the company to make an immediate delivery of the missing shots. (AP Photo/Virginia Mayo)

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