On Apr 04, 2017, Federal appeals court upheld a decision
that invalidated Novartis AG's patents on the Exelon (Rivastigmine) skin
patch for Alzheimer's disease, clearing the way for Noven Pharmaceuticals Inc.
to launch a generic version of the drug.
The instant appeals concern inter partes reviews of U.S.
Patent Nos. 6,316,023 (“the ’023 patent”) and 6,335,031 (“the
’031 patent”) (together, “the Patents-in Suit”). In two separate final written
decisions, the U.S. Patent and Trademark Office’s (“USPTO”) Patent Trial and
Appeal Board (“PTAB”) found that various claims of the Patents-in-Suit (“the
Asserted Claims”) would have been obvious over the prior art. Novartis contest
numerous aspects of the Final Written Decisions, including the PTAB’s
conclusion that prior judicial opinions did not control its inquiry and the
PTAB’s factual findings in support of its obviousness conclusion.
These very same patents were previously litigated and the
claims were found to be nonobvious in federal district court. Novartis argued
to the Federal Circuit that the arguments presented to the PTAB by Noven, as
well as the prior art submitted to support those arguments, were the same as
considered during litigation in federal court. The Federal Circuit disagreed,
finding that the record in federal court was not identical to the record at the
PTAB. But the Federal Circuit went further, saying that even if the records
were identical Novartis’ argument would have to fail.
Chief Judge Prost wrote:
[E]ven if the record were the same, Novartis’s
argument would fail as a matter of law. The PTAB determined that a “petitioner
in an inter partes review proves unpatentability by a preponderance of the
evidence (see 35 U.S.C. § 316(e)) rather than by clear and convincing
evidence[] as required in district court litigation,” meaning that the PTAB
properly may reach a different conclusion based on the same evidence. Noven II,
2015 WL 5782081, at *2 (italics omitted). That position comports with recent
Supreme Court precedent…
CONCLUSION:
We
affirm the PTAB’s conclusions that the Asserted Claims would have been
unpatentable as obvious on the grounds discussed, we need not address the
alternative grounds of unpatentability. (declining to address alternative
grounds of unpatentability when the court upholds one such ground). Therefore,
for the foregoing reasons, the Final Written Decisions of the U.S. Patent and
Trademark Office’s Patent Trial and Appeal Board are AFFIRMED.
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