The Minister of Health appealed a Divisional Court decision that allowed Apotex Inc.'s application for judicial review.
Apotex sought to increase the listed prices of three of its drug products in the Formulary after a generic competitor failed to bring its lower-priced products to market.
The Minister refused to recommend the price increase, citing a cost neutrality policy.
The Court of Appeal held that the appropriate standard of review for the Minister's highly discretionary decision was patent unreasonableness.
The Court found that the Minister's refusal was rational and not patently unreasonable, as the Formulary was already in effect and the cost neutrality policy was applicable.
The appeal was allowed and the application for judicial review was dismissed.
