On Aug
06, 2019, Delaware court denied each motion filed by Forest & Sigmapharm to
enter final judgment after trial based on a post-trial amendment to ANDA
specification.
The current controversy in this ongoing Hatch-Waxman case
involves a motion by defendant Sigmapharm to vacate a finding of infringement pursuant
to Fed. R. Civ. P. 60(b) based on a post-trial amendment to its ANDA.
Plaintiffs Forest oppose Sigmapharm’s motion and filed a cross motion to enter
final judgment.
During litigation Forest asserted that the defendants
infringed claim 1 of U.S. Patent No.
5,763,476; which requires that the pharmaceutical composition “disintegrate
within 30 seconds in water at 37° C.”
Sigmapharm’s first ANDA, filed in August 2013, had a
disintegration specification of “not more than 5 minutes”—Specification 1. In August 2015, the FDA issued a Complete
Response, rejecting Specification 1 because the disintegration time was not
“within seconds” as required by the Reference Listed Drug (RLD).
One month later, in February of 2016, Sigmapharm responded
to the FDA’s rejection of Specification 1 by amending its disintegration
specification to “not more than 75 seconds”—Specification 2.
In May 2016, three months before trial was scheduled to
start before Judge Robinson, Sigmapharm again amended its disintegration
specification from “not more than 75 seconds” to “35 to 75 seconds”—Specification 3.
In September 2016, the FDA rejected Sigmapharm’s
Specification 3, reiterating its recommendation that Sigmapharm reformulate its
drug product so that it demonstrated “a disintegration time that is in-line
with the labeling requirement of ‘within seconds.’” On October 13, 2016, Judge
Robinson granted Forest’s request and trial on infringement as to Sigmapharm
was stayed & to be proceeded with other defendants.
In response to the FDA’s September 2016 Complete Response,
Sigmapharm again amended its disintegration specification in March 2017—Specification 4. Sigmapharm changed the single disintegration
test to two separate tests and lowered the upper time limit to under a minute.
Thus, the “35 seconds to 75 seconds” became:
(1) at 30 seconds “fail” USP <701> (the “30-Second
Test”), and
(2) at 55 seconds “pass” USP <701> (the “55-Second
Test”).
On Nov 16, 2018, Court issued a post-trial opinion finding
that Sigmapharm literally infringed claim 1 of the ’476 patent. Court found
that Sigmapharm’s product “disintegrate within 30 seconds in water at 37° C.” based
upon the testimony of Forest’s expert, Dr. Adam Myers, who, based upon testing
consistent with USP <701>, opined that Sigmapharm’s Specification 4
infringed Claim 1.
Sigmapharm took the position that the two disintegration
tests in Specification 4—the 30-Second Test and the 55-Second Test—precluded
infringement. Sigmapharm equated “failing” USP <701> with proof that a
batch of tablets would not disintegrate within 30 seconds. But court rejected
this approach as it was not consistent with the “words of the claim(s).” Court found
that a “fail” result would unreliably allow too many tablets to disintegrate
within 30 seconds to conclusively show that a batch would not disintegrate
within that time.
After this opinion, instead of submitting a proposed form of
final judgment, Sigmapharm amended its ANDA by adopting - Specification 5, and filed a motion pursuant to Fed. R. Civ. P.
60(b) asking court to change infringement finding to non-infringement and enter
final judgment in its favor. According to Sigmapharm, Specification 5 changed
the acceptance criteria under Sigmapharm’s 30-Second Test such that a batch of
its tablets would not disintegrate within 30 seconds. In other words,
Sigmapharm now posits no more than 0/6 tablets will disintegrate within 30
seconds on stage 1 and 2/18 tablets on stage 2. According to Sigmapharm, the FDA approved
Specification 5 by default.
Sigmapharm sought relief from judgment pursuant to Fed. R.
Civ. P. 60(b)(2), 60(b)(5), and 60(b)(6).
Court denied motion under Rule 60(b)(2) because as per
this rule “newly discovered evidence is evidence of facts should be in existence
at the time of trial”. Here Specification 5 was not in existence at the time of
trial. Instead, Sigmapharm created Specification 5 after trial, in response to court’s
finding of infringement.
Court denied motion under Rule 60(b)(5) because this rule only “provides for relief from
injunction or consent decrees.” Here, Sigmapharm is not seeking modification to
an injunction or consent decree, but a change to legal conclusions. Accordingly,
Rule 60(b)(5) is not the proper grounds to grant the relief Sigmapharm seeks.
Court also denied motion under Rule 60(b)(6) because Sigmapharm failed to show that it is an exceptional
circumstances.
Court said that the “Ferring” [Ferring B.V. v. Watson Laboratories, Inc., 764 F.3d 1382 (Fed. Cir.
2014)] case cited by Sigmapharm is entirely distinguishable from the facts
before it. First, unlike in Ferring, court’s finding of infringement was not
based solely on the ANDA, but also on actual testing of Sigmapharm’s generic
product. Second, there was no discussion at the trial before court suggesting
that Sigmapharm would or should amend its ANDA to moot the issue of infringement.
Third, the Ferring court found no prejudice because, among other reasons,
Ferring never requested that the district court reopen the record to address
infringement by the amended ANDA.
Thus court declined to enter a final judgment in
Sigmapharm’s favor based on Specification 5.
Court also declined to enter a final judgment in Forest’s
favor based on Specification 4 because Specification 4 is no longer operative
now. In addition, Sigmapharm asserts that, due to the changes made by
Specification 5, “[t]he batches tested by [Forest], some of which were found to
infringe, are no longer representative, in terms of disintegration
characteristics, of the products that Sigmapharm will manufacture and market.”
Court further said that nothing precludes it from disregarding Specification 5
and entering final judgment as to Specification 4 based on the findings set
forth in the November 18, 2018 trial opinion. But if Sigmapharm wants the
opportunity to prove that Specification 5 does not infringe the ’476 patent, court willing to provide that opportunity.
Therefore, Sigmapharm has two options:
(1) have a final judgment entered based on the November 16,
2018 opinion addressing Specification 4 and appeal that judgment to the United
States Court of Appeals for the Federal Circuit, or
(2) request that court reinstate the discovery and
litigation process with respect to Specification 5.