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EU launches legal action against AstraZeneca over vaccine contract

AstraZeneca allegedly failed to respect the terms of its contract with the EU

AstraZeneca

AstraZeneca | File photo

AP | PTI Brussels

The European Commission on Monday said it has launched a legal action against vaccine maker AstraZeneca for failing to respect the terms of its contract with the EU.

Spokesman Stefan De Keersmaecker said, The Commission has started last Friday legal action against the company AstraZeneca on the basis of breaches of the advance purchase agreement.

He said that the reason for the legal action was that some terms of the contract have not been respected and that the company has not been in a position to come up with a reliable strategy to ensure a timely delivery of doses.

AstraZeneca's contract with the European Union foresaw an initial 300 million doses for distribution among the 27 member countries, with option for a further 100 million.

 

But only 30 million doses were delivered in the first quarter of 2021, and the company says it can only provide 70 million in the second quarter, rather than the 180 million it had promised.

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First Published: Apr 26 2021 | 6:13 PM IST

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