N.GRIGORIADIS & ASSOCIATES LAW FIRM

N.GRIGORIADIS & ASSOCIATES LAW FIRM

Decision no 4500/2024 of the Athens Three-Member Court of Appeal in an action brought by a former distributor against the supplier – pharmaceutical company for payment of compensation exceeding EUR 7,000,000 due to unlawful termination of the distribution agreement

LEGAL ALERT

Decision no 4500/2024 of the Athens Three-Member Court of Appeal in an action brought by a former distributor against the supplier – pharmaceutical company for payment of compensation exceeding EUR 7,000,000 due to unlawful termination of the distribution agreement

The Court of Appeal upheld the first-instance judgment, which had dismissed the former distributor’s lawsuit, holding that the termination by the supplier – pharmaceutical company was made for good cause and, in particular, due to an infringement of the supplier’s intellectual property rights by the distributor. According to the Court, the conduct of the former distributor was in complete contradiction with its contractual obligation under the distribution agreement to protect the supplier’s rights, and was characterised by bad faith, since, due to their long-standing cooperation, it was fully aware of the supplier’s intellectual property rights.