Jacobson speaks: Genetic Technologies and BRCA testing

Debate blows up

Around 50.55 per cent of Australia’s population has a double X karyotpe and is thus at theoretical risk of inherited or sporadic mutations in the BRCA1 and BRCA2 tumour-suppressor genes.

Inevitably, the list of women who have survived or succumbed to breast cancer or ovarian cancer features some famous names. Entertainers Olivia Newton-John and Kylie Minogue, and former Olympian Raelene Boyle, are all survivors of breast cancer. Last year breast cancer claimed the lives of marathon runner Kerryn McCann and Jane McGrath, wife of former Test bowler Glenn McGrath, and South Australian National Party Senator Jeannie Ferris succumbed to ovarian cancer.

When the licensing debate blew up, Ohanessian issued a press release to “clarify misconceptions" arising from its plans to enforce its exclusive intellectual property rights over BRCA1 and BRCA2 testing for hereditary breast and ovarian cancer risk.

The press release pointed out that the decision would not restrict research into the two genes. It said GTG was not contemplating any major change to its pricing regime, and was “looking forward to negotiating mutually satisfactory arrangements” with the relevant state health authorities. Health care providers in Australia and New Zealand already enjoyed lower prices than most other countries, he said.

The press release stated that the company’s previous policy of not enforcing its patent rights had come at considerable cost over the six years since its agreement with Myriad.

“The beneficiaries have been laboratories that have been shielded from paying any licence fees for use of the patents,” Ohanessian said.

“Genetic Technologies, on the other hand, continues to carry the financial commitment for its exclusive rights to the patents. Given that we now offer an excellent service, we believe it is time to revisit that arrangement.”

The issue came to a head on September 18, when GTG asked the Australian Stock Exchange to halt trading of its shares after Jacobson announced he would move a resolution at the company’s annual general meeting on November 19 to remove five of the company’s directors, including Ohanessian, and appoint one new director.

Jacobson also sought to remove GTG chairman Henry Bosch and non-executive directors Dr John Dawkins, Dr Leanne Lowe and David Carruthers. His new nominee was Melbourne lawyer and accountant Grahame Leonard, but Leonard subsequently declined the nomination.

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