The Competition Appeal Tribunal (CAT) found that Pfizer and Flynn abused their dominant positions by charging excessive prices for phenytoin sodium capsules, leading to combined fines of £69 million.

The CAT's decision mirrored the Competition and Markets Authority's (CMA) findings, imposing fines almost identical to those initially set by the CMA.

The CMA agrees with the CAT's conclusion on abusive pricing behavior but disagrees with the CAT's reasoning regarding the CMA's original decision, contemplating an appeal.

The CMA's investigation revealed that Pfizer and Flynn significantly raised prices for phenytoin sodium capsules, resulting in NHS annual costs escalating from £2 million in 2012 to around £50 million the following year.

The CAT upheld most of the drug firms' grounds of appeal, disagreeing with the CMA on various aspects, including the calculation of a 'reasonable rate of return' and the assessment of unfairness.