Allergan, Inc. v. Exela Pharmsci Inc.

643 F.3d 1366, 98 U.S.P.Q. 2d (BNA) 1878, 2011 U.S. App. LEXIS 10151, 2011 WL 1898206
CourtCourt of Appeals for the Federal Circuit
DecidedMay 19, 2011
DocketNos. 2010-1102, 2010-1103
StatusPublished
Cited by1 cases

This text of 643 F.3d 1366 (Allergan, Inc. v. Exela Pharmsci Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Federal Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Allergan, Inc. v. Exela Pharmsci Inc., 643 F.3d 1366, 98 U.S.P.Q. 2d (BNA) 1878, 2011 U.S. App. LEXIS 10151, 2011 WL 1898206 (Fed. Cir. 2011).

Opinions

Opinion for the court filed by Circuit Judge BRYSON. Opinion coneurring-inpart and dissenting-in-part filed by Circuit Judge DYK.

BRYSON, Circuit Judge.

This patent case involves a dispute over an eyedrop formulation used to treat glaucoma. The appellee, Allergan, Inc., has various patents that protect its glaucoma drug Alphagan® P. The appellants, Apotex, Inc., and Exela Pharmsci, Inc., each filed an Abbreviated New Drug Application (“ANDA”) seeking permission from the Food and Drug Administration (“FDA”) to market a generic version of Alphagan® P. Allergan sued both Apotex and Exela for infringement. After an eight-day bench trial, the district court found that Allergan’s asserted patents were not invalid and that Apotex and Exela infringed those patents. The court enjoined both Apotex and Exela from making or selling the products described in each defendant’s ANDA. Apotex appeals only the validity portion of the judgment against it; Exela appeals only the finding of infringement. On Apotex’s appeal, we affirm-in-part, reverse-in-part, and affirm [1369]*1369the entry of the injunction, as explained below. On Exela’s appeal, we reverse.

I

Brimonidine tartrate is an a-2-adrenergic agonist that reduces the elevated intraocular pressure (IOP) of the eye that is associated with glaucoma. In 1996, Allergan introduced Alphagan®, an aqueous eyedrop solution containing 0.2% brimonidine. Alphagan® is adjusted to a pH between 6.3 and 6.5. It includes a detergent preservative, benzalkonium chloride. Alphagan® was commercially successful. However, a sizeable percentage of Alphagan® users developed an allergic reaction to brimonidine known as allergic conjunctivitis.

Allergan’s efforts to address this allergic response led to the introduction of Alphagan® P in 2001. Allergan sells Alphagan® P at two brimonidine concentrations, 0.15% and 0.1%, each of which is lower than the 0.2% brimonidine concentration in Alphagan®. Alphagan® P has a pH between 7.15 and 7.8, a range that is higher than that of Alphagan®. The lower concentration Alphagan® P formulation is sold at a pH of 7.6 to 7.8; the higher concentration is sold at a pH of 7.15 to 7.3.

Two therapeutic benefits accompany the elevated pH. First, the pH of Alphagan® P is closer to that of the human eye than is the pH of Alphagan®. Therefore, Alphagan® P does not produce a stinging sensation when administered. Second, because brimonidine is an ionizable drug, a lower concentration of brimonidine at the elevated pH of Alphagan® P will provide therapeutic benefits similar to the benefits provided by a higher concentration at a lower pH. At an elevated pH, a higher fraction of brimonidine is unionized as compared to the fraction that is un-ionized at the slightly acidic pH of Alphagan®. The un-ionized species is more lipid soluble and thus more readily crosses the corneal membrane than does the ionized species. Because the brimonidine-induced allergic reaction is dose-dependent, Alphagan® P— with its lower concentration of brimonidine — does not pose the same risk of allergic response as the original Alphagan®. Yet because a higher percentage of the brimonidine passes into the eye at the higher pH, Alphagan® P remains as therapeutically effective as Alphagan®.

The Allergan researchers who developed Alphagan® P were concerned that brimonidine would not be soluble at a pH as high as 7.15 or above; accordingly, they included a solubility-enhancing component, carboxymethylcellulose (“CMC”). The original Alphagan® included a detergent preservative, benzalkonium chloride, which was known to be somewhat irritating to the eye. The preservative in Alphagan® P is stabilized chlorine dioxide (“SCD”), an oxidative preservative that was known to be compatible with the eye. Although the formulators expressed concern that SCD would oxidize brimonidine, they found that the two were compatible. Both the preservative, SCD, and the solubility-enhancing component, CMC, are components of Refresh Tears®, an Alergan artificial tears solution with a pH between 7.2 and 7.9.

Allergan submitted five patents associated with Alphagan® P to the FDA for publication in the FDA’s list of patents on branded drugs, known as the Orange Book. The first patent, U.S. Patent No. 5,424,078 (“the '078 patent”), is directed to a sterilized ophthalmic solution at physiologic pH and osmolality. The other four patents, which the parties refer to as the “related patents,” are directed to medicated ophthalmic solutions.

In 2007, Apotex submitted two ANDAs to the FDA seeking approval to manufac[1370]*1370ture and sell a generic version of Alphagan® P in the 0.1% and 0.15% brimonidine concentrations. Exela filed a single ANDA targeting the 0.15% brimonidine product. Allergan sued Exela in the United States District Court for the Central District of California for patent infringement under 35 U.S.C. § 271(e)(2). Allergan filed a similar suit against Apotex in the United States District Court for the District of Delaware.

The multidistrict litigation panel consolidated both cases in the District of Delaware. Following a bench trial, the district court upheld the validity of all the asserted claims of the '078 and related patents against an obviousness challenge. Apotex stipulated to infringement. The district court held a bench trial on the infringement action against Exela and found that the product proposed in Exela’s ANDA would infringe the asserted claims. Accordingly, the court enjoined both Apotex and Exela from making or selling the products described in their respective ANDAs.

II

Apotex challenges the district court’s determination that the asserted patents are not invalid. With respect to the '078 patent, we hold that the asserted claims would have been obvious. With respect to the four “related patents,” however, we uphold the district court’s determination that the claims would not have been obvious. The injunction against Apotex stands unless Apotex overcomes the presumption of validity for every claim of the '078 patent and the “related patents.” Because Apotex failed to meet this burden with respect to the “related patents,” we affirm the court’s award of injunctive relief in favor of Allergan.

A

The '078 patent describes and claims a buffered, aqueous ophthalmic solution at a pH of about 6.8 to 8, which roughly corresponds to the pH of the human eye. Claim 1 recites a method for preserving an aqueous ophthalmic formulation. The claimed method employs a solution having three active components: an amount of stabilized chlorine dioxide sufficient to serve as the sole preservative, an ophthalmically acceptable buffer component effective to maintain a pH range of about 6.8 to 8, and an ophthalmically acceptable tonicity component effective to maintain an osmolality of at least 200 mOsmol/kg. Stabilized chlorine dioxide is a salt-balanced, aqueous solution of chlorite, C102-. The addition of an acid (or an oxidant) to an SCD solution “activates” the SCD by oxidizing chlorite to chlorine dioxide, C102. Both SCD and chlorine dioxide are oxidants, although chlorine dioxide is the stronger of the two.

Apotex’s invalidity argument focuses on two references, U.S. Patent No. 4,499,077 (“Stockel”) and U.S. Patent No. 4,689,215 (“Ratcliff’). The district court determined that those references were insufficient to rebut the presumption of validity.

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Related

In Re Brimonidine Patent Litigation
643 F.3d 1366 (Federal Circuit, 2011)

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643 F.3d 1366, 98 U.S.P.Q. 2d (BNA) 1878, 2011 U.S. App. LEXIS 10151, 2011 WL 1898206, Counsel Stack Legal Research, https://law.counselstack.com/opinion/allergan-inc-v-exela-pharmsci-inc-cafc-2011.