Patents, Copyrights and Trademarks -- 2016



SmithKline Beecham Corp. v. King Drug Co.   (U.S. Supreme Court)

Antitrust scrutiny of patent litigation settlements

The NAM filed an amicus brief in a pharmaceutical patent litigation settlement dispute urging the U.S. Supreme Court to resolve uncertainty regarding the kinds of settlements that can trigger lawsuits. The plaintiffs appealed a settlement between a brand pharmaceutical manufacturer and a generic pharmaceutical manufacturer after the parties settled patent litigation using a procompetitive licensing arrangement. This case is important because manufacturers rely on settlements to avoid unnecessary litigation. The NAM’s brief argued that 1) patent owners should be allowed to reach reasonable agreements with competitors to settle their disputes; 2) third parties should not be allowed to appeal the settlement by merely alleging that the settlement contains a specific licensing arrangement; and 3) parties must not be forced to choose between lengthy and expensive patent litigation if they do not settle a patent challenge and lengthy and expensive antitrust litigation if they do. The Court declined to hear this appeal.


Related Documents:
NAM brief  (March 31, 2016)