Athena Diagnostics, Inc. v. Mayo Collaborative Servs., LLC
Opinion
Per Curiam.
A petition for rehearing en banc was filed by appellants Athena Diagnostics, Inc., Oxford University Innovation Ltd., and the Max-Planck-Gesellschaft zur Forderung der Wissenschaften E.V. A response to the petition was invited by the court and filed by appellees Mayo Collaborative Services, LLC and Mayo Clinic. Several motions for leave to file amici curiae briefs were filed and granted by the court. The petition for rehearing, response, and amici curiae briefs were first referred to the panel that heard the appeal, and thereafter, to the circuit judges who are in regular active service. A poll was requested, taken, and failed.
Upon consideration thereof,
IT IS ORDERED THAT :
1) The petition for panel rehearing is denied.
2) The petition for rehearing en banc is denied.
3) The mandate of the court will issue on July 10, 2019.
FOR THE COURT
Lourie, Circuit Judge, with whom Reyna and Chen, Circuit Judges, join, concurring in the denial of the petition for rehearing en banc.
I concur in the court's decision not to rehear this case en banc. In my view, we can accomplish little in doing so, as we are bound by the Supreme Court's decision in
Mayo.
Some of us have already expressed our concerns over current precedent.
E.g.
,
Athena Diagnostics, Inc. v. Mayo Collaborative Servs., LLC
,
If I could write on a clean slate, I would write as an exception to patent eligibility, as respects natural laws, only claims directed to the natural law itself, e.g. , E=mc2, F=ma, Boyle's Law, Maxwell's Equations, etc. I would not exclude uses or detection of natural laws. The laws of anticipation, obviousness, indefiniteness, and written description provide other filters to determine what is patentable.
But we do not write here on a clean slate; we are bound by Supreme Court precedent. In
Mayo Collaborative Services v. Prometheus Laboratories, Inc.
, the claims at issue were held by the Court to be directed to the relationship between the concentration of metabolites in the blood and the likelihood that a drug dose will be ineffective, which it referred to as a law of nature.
In applying
Mayo
, we have accordingly held claims focused on detecting new and useful natural laws with conventional steps to be ineligible.
E.g.
,
Cleveland Clinic Found. v. True Health Diagnostics LLC
,
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Per Curiam.
A petition for rehearing en banc was filed by appellants Athena Diagnostics, Inc., Oxford University Innovation Ltd., and the Max-Planck-Gesellschaft zur Forderung der Wissenschaften E.V. A response to the petition was invited by the court and filed by appellees Mayo Collaborative Services, LLC and Mayo Clinic. Several motions for leave to file amici curiae briefs were filed and granted by the court. The petition for rehearing, response, and amici curiae briefs were first referred to the panel that heard the appeal, and thereafter, to the circuit judges who are in regular active service. A poll was requested, taken, and failed.
Upon consideration thereof,
IT IS ORDERED THAT :
1) The petition for panel rehearing is denied.
2) The petition for rehearing en banc is denied.
3) The mandate of the court will issue on July 10, 2019.
FOR THE COURT
Lourie, Circuit Judge, with whom Reyna and Chen, Circuit Judges, join, concurring in the denial of the petition for rehearing en banc.
I concur in the court's decision not to rehear this case en banc. In my view, we can accomplish little in doing so, as we are bound by the Supreme Court's decision in
Mayo.
Some of us have already expressed our concerns over current precedent.
E.g.
,
Athena Diagnostics, Inc. v. Mayo Collaborative Servs., LLC
,
If I could write on a clean slate, I would write as an exception to patent eligibility, as respects natural laws, only claims directed to the natural law itself, e.g. , E=mc2, F=ma, Boyle's Law, Maxwell's Equations, etc. I would not exclude uses or detection of natural laws. The laws of anticipation, obviousness, indefiniteness, and written description provide other filters to determine what is patentable.
But we do not write here on a clean slate; we are bound by Supreme Court precedent. In
Mayo Collaborative Services v. Prometheus Laboratories, Inc.
, the claims at issue were held by the Court to be directed to the relationship between the concentration of metabolites in the blood and the likelihood that a drug dose will be ineffective, which it referred to as a law of nature.
In applying
Mayo
, we have accordingly held claims focused on detecting new and useful natural laws with conventional steps to be ineligible.
E.g.
,
Cleveland Clinic Found. v. True Health Diagnostics LLC
,
In contrast, new method of treatment patents do not fall prey to
Mayo
's prohibition.
E.g.
,
Vanda Pharm. Inc. v. West-Ward Pharm. Int'l Ltd.
,
Amici and others have complained that our eligibility precedent is confused. However, our cases are consistent. They have distinguished between new method of treatment claims and unconventional laboratory techniques, on the one hand, and, on the other hand, diagnostic methods that consist of routine steps to observe the operation of a natural law, a clear line. Beyond that, I do not see a way clear to distinguish Mayo in a useful, principled, fashion. Software is another matter, but such patents are not before us here.
I therefore concur in the decision of the court not to take this case en banc because I do not believe we can convincingly distinguish Mayo in this case.
Hughes, Circuit Judge, with whom Prost, Chief Judge, and Taranto, Circuit Judge, join, concurring in the denial of the petition for rehearing en banc.
The multiple concurring and dissenting opinions regarding the denial of en banc rehearing in this case are illustrative of how fraught the issue of § 101 eligibility, especially as applied to medical diagnostics patents, is. I agree that the language in Mayo , as later reinforced in Alice , forecloses this court from adopting an approach or reaching a result different from the panel majority's. I also agree, however, that the bottom line for diagnostics patents is problematic. But this is not a problem that we can solve. As an inferior appellate court, we are bound by the Supreme Court.
I, for one, would welcome further explication of eligibility standards in the area of diagnostics patents. Such standards could permit patenting of essential life saving inventions based on natural laws while providing a reasonable and measured way to differentiate between overly broad patents claiming natural laws and truly worthy specific applications. Such an explication might come from the Supreme Court. Or it might come from Congress, with its distinctive role in making the factual and policy determinations relevant to setting the proper balance of innovation incentives under patent law.
Dyk, Circuit Judge, with whom Hughes, Circuit Judge, joins, and with whom Chen, Circuit Judge, joins as to Parts IV, V, and VI, concurring in the denial of the petition for rehearing en banc.
I
In the realm of abstract ideas, the
Mayo
/
Alice
framework has successfully screened out claims that few would contend should be patent eligible, for example, those that merely apply well-known business methods and other processes using computers or the Internet.
1
The
Mayo
/
Alice
framework has thus proven to be both valuable and effective at invalidating overly broad, non-inventive claims that would effectively "grant a monopoly over an abstract idea."
Alice Corp. v. CLS Bank Int'l
,
II
Despite assertions to the contrary, the doctrines of novelty under § 102, obviousness under § 103, and enablement and written description under § 112 cannot adequately guard against the dangers of overclaiming. In
Mayo
, the Supreme Court rejected the argument that "other statutory provisions"-specifically §§ 102, 103, and 112-could adequately "perform th[e] screening function" served by § 101.
A simple example in the area of diagnostic patents illustrates this point. If the first person to identify the relationship between a genetic abnormality and a disease had sought a broad patent on a method of searching for genetic abnormalities and determining their relationship to disease, the claims would have been neither anticipated nor obvious. Nor is it likely that they would they have been invalid for lack of enablement (since a representative species was disclosed) or written description (the overall conception being in the mind of the inventor). The only barrier to such broad patent claiming is § 101.
In fact, one of the diagnostic patents that we have held unpatentable under § 101 had exactly that problem of overbreadth. In
In re BRCA1- & BRCA2-Based Hereditary Cancer Test Patent Litigation
,
III
The problem with § 101 arises not in implementing the abstract idea approach of Alice , but rather in implementing the natural law approach of Mayo . Although Mayo 's framework is sound overall, I share the concerns expressed by my dissenting colleagues that the Mayo test for patent eligibility should leave room for sufficiently specific diagnostic patents. But it is the Supreme Court, not this court, that must reconsider the breadth of Mayo .
Although the Supreme Court's decision in
Mayo
did not make all diagnostic claims patent ineligible, as we previously held in
Ariosa
,
The inventors of U.S. Patent 7,267,820 ("the '820 patent") discovered that myasthenia gravis ("MG"), a neurological disorder, can be diagnosed by detecting the presence of MuSK autoantibodies in bodily fluid.
See
Athena Diagnostics, Inc. v. Mayo Collaborative Servs., LLC
,
So too as in
Mayo
, at step two, the additional steps of the claims here, though "set forth with some specificity,"
Athena
,
IV
It is nonetheless appropriate to point out that there is tension between
Mayo
and the Supreme Court's later decision in
Association for Molecular Pathology v. Myriad
Genetics, Inc.
,
By suggesting that such a claim could be patent eligible,
Myriad
thus recognized that an inventive concept can sometimes come from the discovery of an unknown natural phenomenon and its application for a diagnostic purpose. This appears to be in tension with
Mayo
. Under
Mayo
, a natural phenomenon itself, no matter how narrow and specific, cannot supply the requisite "inventive concept."
See
Mayo
,
Thus, it would be desirable for the Supreme Court to refine the Mayo framework to allow for sufficiently specific diagnostic patent claims with proven utility. In the life sciences, development of new diagnostic methods is often based on researching complex biological systems. The inventive concepts in this area may lie primarily in the application of a natural law.
V
At the same time,
Mayo
's central concern was both important and consistent with the Patent Act. There is a substantial risk that overbroad claims involving natural laws may "preempt the use of a natural law" and thus "inhibit further discovery by improperly tying up the future use of laws of nature."
In my view, the
Mayo
framework should be refined in limited respects. First, at step one of
Mayo
, the natural law cannot be claimed as such.
See
Gottschalk v. Benson
,
At the same time, "all inventions at some level embody, use, reflect, rest upon, or apply laws of nature, natural phenomena, or abstract ideas."
For there to be a patent eligible application of a natural law, there must be a "discover[y],"
The Supreme Court's opinion in
O'Reilly v. Morse
, 56 U.S. (15 How.) 62,
More recent opinions of the Supreme Court are also consistent with a focus on claims that sweep too broadly. In
Benson
, the Court observed that the claims were "so abstract and sweeping as to cover both known and unknown uses of" the mathematical formula at issue, and so held the claims ineligible.
To ensure against overbroad claims, the scope of the § 101 natural law exception is necessarily informed by the utility requirement of § 101. The utility requirement has its origins in the constitutional grant of Congressional authority, which contemplated that the "discoveries" entitled to patents would be limited to those of proven utility.
See
U.S. Const. art. I, § 8, cl. 8 ; Sean M. O'Connor,
The Overlooked French Influence on the Intellectual Property Clause
,
However, if the claim is sufficiently tied to a specific and useful application of a natural law at
Mayo
step one, that application itself should serve as the necessary inventive concept at
Mayo
step two. Yet at step two, the application must be more than determining the precise correlation of
a known relationship using prior art processes, as was the case in
Mayo
itself. In
Mayo
, "scientists already understood that the levels in a patient's blood of certain metabolites, including [those involved in the claims] were correlated with the likelihood that a particular dosage of a thiopurine drug could cause harm or prove ineffective."
Requiring specific and useful application for the entire scope of the claim at Mayo step one, and more than determining precise correlations of a known natural law using prior art processes at Mayo step two, would ensure that the claims truly recite an "inventive application" of the natural law that should be eligible under § 101. This approach would help ensure that the reward of a patent goes to those who have actually done the work to develop a specific application of a natural law, not those who are the first to the patent office with broad, conceptual claims lacking proven utility in many applications.
VI
Finally, this case may involve claims that could be patent eligible under this suggested approach. First, claims 7-9 do not claim the natural law itself-the relationship between MuSK autoantibodies and MG, a rare neurological disorder-but rather claim specific methods of diagnosing neurological disorders like MG by detecting MuSK autoantibodies.
See
Athena
,
Because at least some of the claims here recite specific applications of the newly discovered law of nature with proven utility, this case could provide the Supreme Court with the opportunity to refine the Mayo framework as to diagnostic patents.
CHEN, Circuit Judge, concurring with denial of the petition for rehearing en banc.
"Congress plainly contemplated that the patent laws would be given wide scope."
Bilski v. Kappos
,
I. FLOOK AND DIEHR
In
Flook
, the Court articulated the notion that something else beyond an algorithm or law of nature recited in a claim must provide the key "inventive concept" to make a claim patent-eligible.
The Court advanced a very different analytic approach for the judicial exceptions in
Diamond v. Diehr
,
Furthermore,
Bilski
recognized the interplay between
Diehr
and
Flook
, pointing out that
Diehr
"established a limitation on the principles articulated in [
Gottschalk v.
]
Benson
and
Flook
" in that "
Diehr
emphasized the need to consider the invention as a whole, rather than 'dissect[ing] the claims into old and new elements ... in the analysis.' "
Bilski
,
Aside from reaffirming the result in
Flook
, the
Diehr
Court addressed
Flook
's takeaway meaning at two different points in the opinion. First,
Diehr
observed: "Our recent holdings in
Gottschalk v. Benson
,
supra
, and
Parker v. Flook
,
supra
, both of which are computer-related, stand for no more than [the] long-established principles" that "[e]xcluded from such patent protection are laws of nature, natural phenomena, and abstract ideas."
That
Diehr
established a limitation on
Flook
and rejected the point of novelty/inventive concept approach to patent eligibility is underscored by the protests within the
Diehr
dissent.
See
Diehr,
Given
Diehr
's evident disagreement with
Flook
's analysis,
Diehr
, as the later opinion, was widely understood to be the guiding, settled precedent on § 101 for three decades.
See
,
e.g.
,
Arrhythmia Research Tech., Inc. v. Corazonix Corp.
,
II. MAYO AND ALICE
Three decades after
Diehr
,
Mayo
provided a framework for the judicial exceptions that strongly tracked the reasoning of
Flook
and the
Diehr
dissent.
Mayo Collaborative Servs. v. Prometheus Labs., Inc.
,
Citing primarily to
Flook
, as well as
Bilski
, the Court stated that its prior decisions "insist that a process that focuses upon the use of a natural law also contain other elements or a combination of elements, sometimes referred to as an 'inventive concept,' sufficient to ensure that the patent in practice amounts to significantly more than a patent upon the natural law itself."
As such,
Mayo
is in considerable tension with
Diehr
's instruction to consider claims "as a whole" and
Diehr
's disapproval of dissecting claims into elements and ignoring non-novel elements in the § 101 analysis.
In
Alice
, the Court reaffirmed this reversion to
Flook
, reiterating that, if the claims at issue are directed to laws of nature, natural phenomena, or abstract ideas, then we must ask "what else is there in the claims before us?" And in doing so, we must "consider the
elements
of each claim individually and 'as an ordered combination' to determine whether the
additional
elements 'transform the nature of the claim' into a patent-eligible application."
Alice Corp. Pty. v. CLS Bank Int'l
,
When it comes to applying the judicial exceptions, it bears noting that the Mayo analytical approach is considerably harder to apply consistently than the Diehr framework, and more aggressive in its reach. Consider the claim in Mayo . If that claim had recited just the single step of administering a synthetic drug to a patient, that single-step claim would be patent-eligible, but lack novelty under § 102. And if that claim added a second step for determining the subsequent level of a non-naturally occurring metabolite in a patient, that claim also would pass muster under § 101, but lack novelty. But when the claim further recites a relationship between a metabolite level and its efficacy in a patient, that claim suddenly would be invalid under § 101 for violating the law of nature exception. In other words, steps 1 and 2 now get pushed aside and declared insignificant, and the last step is designated as the "focus" of the claim, i.e. , the heart of the invention. The notion that adding claim language can convert an otherwise patent-eligible claim into a patent-ineligible claim is counterintuitive and a very difficult thing to explain to 8,000 patent examiners. 4 Moreover, the process of determining what the claim is "really about" when the claim is viewed in pieces, rather than as a whole, can be highly subjective and impressionistic. This approach puts courts and examiners in the position of assigning value judgments to individual limitations, designating some as "significant" and others as "insignificant," and hoping everyone else reaches the same conclusion as to whether the claim contains a truly meritorious inventive contribution as opposed to a judicial exception embellished with insignificant window dressing. And all this just to resolve the threshold question of whether an invention is eligible for the patent system.
As written,
Mayo
requires a patent claim to have an inventive concept apart from the recitation of a natural law. That requirement has consequences that go beyond the facts of
Mayo
and is certainly clear enough that we are obliged to follow it. But, as explained above,
Mayo
's framework is in tension on its face with
Diehr
, which was equally clear in requiring that a patent claim be considered as a whole, without putting aside any natural law or otherwise dissecting a claim into new versus old elements. Moreover, nothing in
Mayo
suggests that it sought to repudiate anything in
Diehr
; it instead suggests that it sought to maintain continuity with the Court's prior cases in this area. As for
Flook
, the Court in
Bilski
acknowledged that
Diehr
had "established a limitation" on
Flook
by "emphasiz[ing] the need to consider the invention as a whole, rather than 'dissect[ing] the claims into old and new elements ... in the analysis.' "
Bilski
,
Through it all, there is a serious question today in patent law as to what extent Diehr remains good law in light of Mayo . We are not in a position to resolve that question, but the Supreme Court can. Resolution of the present confusion is important because if Mayo in fact overruled the principles in Diehr (as reiterated in Bilski ), then that would be a significant incursion on the settled expectations that had existed for 30 years since Diehr . Relying on the Diehr framework, the Patent Office examined and granted many patents for medical diagnostic methods, establishing settled expectations in those granted property rights, and prompted companies and research institutions to organize their conduct and choices accordingly. Many of these diagnostic claims, including the ones at issue here, do not hold up well against Mayo 's more searching, claim dissection scrutiny.
III. ATHENA'S CLAIMS
Judge Newman, Judge Moore, the petitioner, and the
amici
raise several valid concerns. But I believe the reasoning underlying recent Supreme Court decisions compels us to affirm the district court's invalidity determination here. While
Diehr
long established that we must evaluate "the claim as a whole" for § 101 purposes, that principle has been considerably undermined, for we've been recently instructed to ask for claims such as Athena's, "do the patent claims add
enough
to their statements of the correlations to allow the processes they describe to qualify as patent-eligible processes that
apply
natural laws?"
Mayo
,
It appears to me that, per
Mayo
, because the association of an antibody and a medical disorder is deemed to be a law of nature rather than an application of a law of nature, detecting that law of nature, by using data gathering steps or devices that can be said to be basic, conventional, or obvious, fails § 101. This is in contrast to examples, such as
Diehr
and
Neilson
, in which, as characterized by
Mayo
, the claimed inventions included unconventional steps beyond reliance on an abstract scientific principle.
Mayo
,
Here, the inventors of Athena's
1. A method for diagnosing neurotransmission or developmental disorders related to muscle specific tyrosine kinase (MuSK) in a mammal comprising the step of detecting in a bodily fluid of said mammal autoantibodies to an epitope of muscle specific tyrosine kinase (MuSK).
[ ...]
7. A method according to claim 1, comprising
contacting MuSK or an epitope or antigenic determinant thereof having a suitable label thereon, with said bodily fluid,
immunoprecipitating any antibody/MuSK complex or antibody/MuSK epitope or antigenic determinant complex from said bodily fluid and
monitoring for said label on any of said antibody/MuSK complex or antibody/MuSK epitope or antigen determinant complex,
wherein the presence of said label is indicative of said mammal is suffering from said neurotransmission or developmental disorder related to [MuSK].
8. A method according to claim 7 wherein said label is a radioactive label.
9. A method according to claim 8 wherein said label is 125I.
'820 patent, col. 12 ll. 31-35, col. 12 l. 62 - col. 13 l. 9.
We must accept that the association between the antibody and the disorder is a law of nature. Here, as in
Mayo
, data first must be gathered in order to access and observe the newly-discovered law of nature, and the claimed steps "simply tell doctors to gather data from which they may draw an inference in light of the
correlations."
Mayo
,
Claim 9 recites use of a particular label, but one that was standard to use in the art. This cannot provide the inventive concept under Mayo . As an analogy, we would not find that a claim directed to an abstract idea of communicating information through a device passes muster under § 101 simply because it limits the claimed device to, say, a Samsung Galaxy® smartphone. Nor would the Mayo claim be considered to possess an inventive concept if it had recited that the initial step of "administering a drug" be performed in a conventional way, such as orally or intravenously.
One amicus brief points out that § 101 provides that "[w]hoever invents or discovers" a new or useful process, manufacture, machine or composition of matter may be entitled to a patent, and that § 100(a) defines "invention" to mean "invention or discovery." Brief of Freenome Holdings Inc. and Achillion Pharm., Inc. as
Amici Curiae
in Support of Neither Party,
Athena Diagnostics, Inc. v. Mayo Collaborative Servs., LLC
,
In sum, I do not think the claims here can withstand Mayo 's scrutiny. 5 But perhaps when read "as a whole" under Diehr , claims such as claims 7 and 9 in this case could be viewed as methods of testing for a specific medical condition, employing a sequence of steps that physically transform materials. By no means do the claims cover a natural principle in the abstract. Rather, this sounds like a contribution to the "useful arts" stated in Article I, Section 8, Clause 8 of the U.S. Constitution. That those physical, transformative steps may apply conventional techniques for locating an antibody in a sample would not be disregarded in the threshold inquiry of whether the claimed invention qualifies as subject matter eligible for the patent system.
New methods for diagnosing medical conditions, as a general matter, intuitively seem to be the kind of subject matter the patent system is designed for: to encourage the risky, expensive, unpredictable technical research and development that people would not otherwise pursue in the hope that if they discover something of great medical value, then they will be protected and rewarded for that successful effort with a patent. This category of invention, after all, is not the same as methods of entering into contracts, or horse whispering, or speed dating or other methods that animated many of the concerns underlying Bilski . The kind of lab work undertaken in discovering new diagnostics and performing the steps of such claimed inventions can only be described as being technical in nature. For several decades before Mayo , this has been the basis for why the Patent Office granted patents for many medical diagnostics-not just for the law of nature in the abstract, but as applied in the real-world medical context to diagnose patient health conditions. In any meaningful sense, this represents a practical application of the discovered law of nature, that is, it is applied science in every sense of that term. And it should be patentable subject matter in a well-functioning patent system.
CONCLUSION
The most recent Supreme Court opinions are clear in my view on how to address claims like Athena's. Even though Athena's claims likely would be found patent-eligible under Diehr 's framework, it is not an inferior court's role to dodge the clear, recent direction of the Supreme Court. Accordingly, I concur with denial of the petition for rehearing en banc .
Moore, Circuit Judge, with whom O'Malley, Wallach, and Stoll, Circuit Judges, join, dissenting from the denial of the petition for rehearing en banc.
This is not a case in which the judges of this court disagree over whether diagnostic claims, like those at issue in
Athena
, should be eligible for patent protection. They should. None of my colleagues defend the conclusion that claims to diagnostic kits and diagnostic techniques, like those at issue, should be ineligible. The only difference among us is whether the Supreme Court's
Mayo
decision requires this outcome. The majority of my colleagues believe that our hands are tied and that
Mayo
requires this outcome. I believe
Mayo
does not. The Patent Act renders eligible the invention or discovery of any new and useful process.
DIAGNOSTICS ARE PER SE INELIGIBLE
Since
Mayo
, we have held every single diagnostic claim in every case before us ineligible.
See
Cleveland Clinic Found. v. True Health Diagnostics LLC
,
Ariosa Diagnostics, Inc. v. Sequenom, Inc.
,
We have turned
Mayo
into a per se rule that diagnostic kits and techniques are ineligible. That per se rule is "too broad an interpretation of this exclusionary principle [which] could eviscerate patent law."
Mayo Collaborative Services v. Prometheus Laboratories, Inc.
,
In his opening statement during The State of Patent Eligibility in America Senate hearings, Senator Coons recognized that "for medical diagnostics, ... [there is] a pre-sumption against eligibility that is nearly impossible to overcome." The State of Patent Eligibility in America, Part I: Hearing Before the Subcomm. on Intellectual Property of the S. Comm. on the Judiciary , 116th Cong. 15:36-45 (2019) (opening statement of Sen. Coons). And testimony from industry representatives confirmed that industry members and scholars think "it is unclear whether diagnostic methods are patentable in any meaningful way." See, e.g. , The State of Patent Eligibility in America, Part II , 116th Cong. 7 (2019) (written testimony of Hans Sauer, Ph.D., Deputy General Counsel and Vice President for Intellectual Property, Biotechnology Innovation Organization (BIO)).
Our fervor for clarity and consistency has resulted in a per se rule that excludes all diagnostics from eligibility. I do not agree with my colleagues that Mayo requires that all of these claims in all of these cases be held ineligible. But that is where we are.
I do not fault my colleagues, who under protest have concluded that they have no choice but to hold the claims in
Athena
ineligible because of
Mayo
.
See
Athena
,
DIAGNOSTICS DESERVE PATENT INCENTIVES
"Diagnosis is the foundation of medicine," and diagnostic techniques and kits when narrowly claimed are precisely the type of innovation the patent system exists to promote. 5 Diagnostic techniques, while accounting for less than 2.5% of healthcare expenses, "guide[ ] approximately 66% of clinical decisions." 6 Diagnostics are an essential category of medical technologies, critical to treating illnesses and saving lives. Diagnostic medicine saves lives and money through early detection and reduces the need for high cost pharmaceuticals or curative procedures, but developing diagnostic kits and techniques is expensive and time consuming. Development of a new diagnostic test is estimated to cost up to $ 100 million and to take nearly 10 years. 7
Diagnostics economically depend on strong patent protection. Because they are typically characterized as "very expensive to develop but relatively cheap to reproduce," patent protection is required to make it financially viable for continued investment in their development. 8 As Senator Tillis explained in his opening statement during The State of Patent Eligibility in America Senate hearings, "[w]hy would anyone in their right mind risk millions if not billions of dollars to develop a product when they have no idea if they're eligible for protection? From a business perspective, it simply isn't worth the risk for many endeavors." 9 Without the possibility of patent protection to recoup the high costs of research and development associated with diagnostic techniques and kits, the impact can only be that there will be fewer advances in diagnostic medicine. 10 Industry leaders make clear that absent dependable patent protection, companies will not move forward with diagnostic innovations. 11 As investors routinely recognize, once patent protection over medical technologies is lost, these innovations essentially become gifts to society and the companies that developed them cannot recoup the time and money they spent to do so. 12 It is these life-saving fields though, with such high costs to the initial market investor, where patent protection is critical.
The importance of diagnostics and their cost-reducing effects on patient treatment cannot reasonably be questioned. We are hard-pressed to identify facets of modern medicine that do not employ or rely on diagnostics. Diagnostics are "crucial in mitigating the effect of disease out-breaks."
13
For example, had diagnostic techniques been developed
before
the 2015 Ebola outbreak, and applied to patients early enough, the population-attack rate of Ebola could have been reduced from 80% to 0%.
Not only do diagnostics save lives, they reduce the cost of treatment. The diagnostic industry drives medical costs down, not up. People suffering from illness or disease will do whatever they can to find a cure. Proper diagnoses allow for earlier detection of illness and targeted treatment. But without proper diagnosis, patients have to endure numerous unsuccessful and costly treatments. Both the financial burden of continued testing and treatment and the emotional and physical tolls associated with suffering from symptoms, but not knowing the cause, can be reduced or even prevented thanks to diagnostics. And when there are specific advances, discoveries, or inventions in the diagnostics industry, they must be eligible for patent protection. 18
Unless one opposes the notion of patent protection entirely, it cannot be reasonably disputed that claims to diagnostic kits and techniques, like pharmaceuticals, which require enormous initial investments in terms of both time and money, are the reason we suffer the promise of a monopoly. As many have explained, without patent protection, there will be little incentive for companies to invest the monumental amount of time and money necessary to develop diagnostic kits, tools and techniques. A recent article, co-written by Paul Michel, former Chief Judge of the Federal Circuit, and David Kappos, former Director of the PTO, states:
This uncertain patent climate has a chilling effect on innovation in biosciences to the detriment of public health. ... [I]nvestors are less interested in funding costly new biomarker diagnostic research. As a result, diseases will go undiagnosed, and patients will suffer the consequences. ... Investment in diagnostics goes to the core of containing spiraling health care costs, improving patient outcomes and treating illnesses before they become debilitating to suffering Americans. 19
This sentiment was echoed by industry leaders during The State of Patent Eligibility in America Senate hearings held on June 4-5 & 11, 2019. See The State of Patent Eligibility in America, Part II , 116th Cong. 6-7 (2019) (written testimony of Hans Sauer, Ph.D., Deputy General Counsel and Vice President for Intellectual Property, BIO) ("Absent the ability to protect their discoveries with valid patents ... companies would lack the necessary incentive to make the risky, expensive, and time-consuming investments in research and development often required to bring new technologies to market."); The State of Patent Eligibility in America, Part II , 116th Cong. 9 (2019) (written testimony of Henry Hadad, President, IPO) ("[C]onfusion about what is patent-eligible discourages inventors from pursuing work in certain technology areas, including discovering new genetic biomarkers and developing diagnostic and artificial intelligence technologies. [This] uncertainty disincentivizes the enormous investment in research and development that is necessary to fuel the innovation cycle."); The State of Patent Eligibility in America, Part I , 116th Cong. 14:46-15:05 (2019) (opening statement of Sen. Coons) ("I worry that this continuing lack of clarity ... has led to reduced investment in the expensive and intensive research and development necessary to develop next generation cures ...."); The State of Patent Eligibility in America, Part III , 116th Cong. 1:22:12-1:22:35 (2019) (testimony of Peter O'Neill, Executive Director of Cleveland Clinic Innovations) ("The work of translating discovery into commercial products requires [patent] protection to justify the investment into those discoveries. And absent clarity ... we are not moving forward diagnostic discoveries to translate them into commercial products the way we would do otherwise."); The State of Patent Eligibility in America, Part III , 116th Cong. 1:42:12-1:42:28 (2019) (testimony of Corey Salsberg, Vice President and Global Head Intellectual Property Affairs for Novartis) ( "Make no mistake about section 101, this is the gateway to the patent system. So what that means in practical terms is it's a guide as to which fields of technologies can support sustained investment, and which ones likely cannot, and that's why we have such deep concerns about the status quo."); The State of Patent Eligibility in America, Part III , 116th Cong. 1 (2019) (written testimony of Robert Deberardine, Chief Intellectual Property Counsel, Johnson & Johnson) ("It is only because of the United States patent system, and the predictability that it has historically provided, that we have been able to make the investments, conduct the research, and take the risks required to develop these treatments. And only with predictability will we be able [to] solve today's most challenging healthcare problems and develop the groundbreaking treatments of tomorrow. Unfortunately, the patent system in the United States today is anything but predictable.").
The math is simple, you need not be an economist to get it: Without patent protection to recoup the enormous R&D cost, investment in diagnostic medicine will decline. To put it simply, this is bad. It is bad for the health of the American people and the health of the American economy. And it is avoidable depending on our interpretation of the Supreme Court's holding in Mayo . I have no doubt that my colleagues agree with the sentiments herein that diagnostics are important, and that patent protection of such diagnostics is critical to incentivizing their very existence. The only point upon which we disagree is over the breadth of the Mayo holding.
ATHENA'S SPECIFICALLY CLAIMED METHOD IS ELIGIBLE
While Mayo did not require the result the panel reached in this case, the panel could not disregard our binding precedent of cases like Ariosa, Cleveland Clinics, and Roche which have interpreted Mayo as requiring this per se rule. Thus, the only hope was en banc action.
It is my view that § 101 and
Mayo
, when read together and in their entireties, compel the holding that the claims in
Athena
are eligible. Under the Patent Act, "[w]hoever invents or discovers any new and useful process, machine, manufacture, or composition of matter, or any new and useful improvement thereof, may obtain a patent therefor, subject to the conditions and requirements of this title."
Laws of nature, natural phenomena, and abstract ideas are considered "the basic tools of scientific and technological work."
Alice Corp. Pty. Ltd. v. CLS Bank Int'l
,
By distinguishing between claims that recite a law of nature and simply add the words "apply it," and claims that recite a concrete application of a law of nature, the Supreme Court suggests we should consider the level of specificity in the claims to determine whether the claim is even directed to the natural law.
See
Alice
,
The law of nature at issue in
Mayo
was the "relationship between concentrations of certain metabolites in the blood and the likelihood that a dosage of a thiopurine drug will prove ineffective or cause harm."
The Court began its analysis with the statement that "[i]f a law of nature is not patentable, then neither is a process reciting a law of nature, unless that process has additional features that provide practical assurance that the process is more than a drafting effort designed to monopolize the law of nature itself."
A method of optimizing therapeutic efficacy for treatment of an immune-mediated gastrointestinal disorder, comprising:
(a) administering a drug providing 6-thioguanine to a subject having said immune-mediated gastrointestinal disorder ; and
(b) determining the level of 6-thioguanine in said subject having said immune-mediated gastrointestinal disorder,
wherein the level of 6-thioguanine less than about 230 pmol per 8×108 red blood cells indicates a need to increase the amount of said drug subsequently administered to said subject and
wherein the level of 6-thioguanine greater than about 400 pmol per 8×108 red blood cells indicates a need to decrease the amount of said drug subsequently administered to said subject.
This claim in its entirety did nothing more than describe the natural relationship between metabolite concentrations and the effective dose of a thiopurine drug.
The breadth and generality of the Mayo claims led to their demise, as they recited nothing more than the natural law. We have since ignored these considerations, treating every claim that includes a law of nature as directed to that law, even if the claim as a whole recites a specific way of applying that law of nature to a new and useful end. We should not ignore the considerations related to claim breadth articulated in Mayo in our § 101 analysis.
The
Athena
claims differ significantly from the
Mayo
claims. In 1960, before the invention claimed in
The inventors of the '820 patent discovered that a different type of autoantibody that binds to and interferes with muscle-specific tyrosine kinase (MuSK)-another receptor also known to help transmit signals from neurons to muscles-can also cause MG.
1. A method for diagnosing neurotransmission or developmental disorders related to muscle specific tyrosine kinase (MuSK) in a mammal comprising the step of detecting in a bodily fluid of said mammal autoantibodies to an epitope of muscle specific tyrosine kinase (MuSK).
7. A method according to claim 1, comprising contacting MuSK or an epitope or antigenic determinant thereof having a suitable label thereon, with said bodily fluid, immunoprecipitating any antibody/MuSK complex or antibody/MuSK epitope or antigenic determinant complex from said bodily fluid and monitoring for said label on any of said antibody/MuSK complex or antibody/MuSK epitope or antigen determinant complex, wherein the presence of said label is indicative of said mammal is suffering from said neurotransmission or developmental disorder related to muscle specific tyrosine kinase (MuSK).
'820 patent at Claims 1, 7.
The claims provide for a method of diagnosing patients with MG using the following concrete steps: (1) contacting the patient's bodily fluid with labeled MuSK, MuSK epitope, or other antigenic determinant that binds any anti-MuSK antibodies that may be present in the bodily fluid; (2) immunoprecipitating any resulting complexes from the bodily fluid; and (3) detecting the presence of the anti-MuSK antibody by monitoring for the label, whereby the presence of the label indicates a diagnosis of MG.
Indeed, the majority in this case repeatedly acknowledged that the claims in
Athena
, unlike the claims in
Mayo
, contain specific, concrete steps applying the law of nature.
See, e.g.
,
Athena
,
The inventiveness of the claimed discovery in the process steps should also be considered when assessing eligibility. New and useful discoveries, such as the before unknown relationship between anti-MuSK autoantibodies and MG, when applied in a "process," should pass muster as eligible under the statutory text of § 101. Our decision to entirely disregard the discovery incorporated in the claims is a misapplication of the statute. This is not to say that a claim on the discovery of a law of nature itself or a natural phenomenon should be eligible. I agree it should not. But to wholly ignore the inventiveness of the discovery when assessing patent eligibility closes our eyes to the statute enacted by Congress. Athena discovered that 20% of people suffering from MG generate autoantibodies that bind to a MuSK protein. Its claims recite concrete steps to detect the presence of autoantibodies to MuSK to diagnose MG. These antibody/MuSK complexes had never been used by prior art MG diagnostic tests. In contrast, the claims in
Mayo
recited a generic "determining" step, with no laboratory test at all specified by the claims, and the specification itself stated that the methods were "well-understood, routine, and conventional activity already engaged in by the scientific community."
I do not believe that the Supreme Court intended
Mayo
to be the sweeping decision it has become. Indeed, it warned us that "too broad an interpretation of" its judicial exceptions to eligibility "could eviscerate patent law" because "all inventions at some level embody, use, reflect, rest upon, or apply laws of nature, natural phenomena, or abstract ideas."
Mayo
,
"It's important for the judiciary to first recognize that there is a problem that needs to be addressed ... 101 remains the most important substantive patent law issue in the United States today. And it's not even close." R. Davis, Courts Can Resolve Patent Eligibility Problems, Iancu Says , LAW 360 (Apr. 11, 2019) (quoting U.S. Patent and Trademark Office Director Iancu). In the wake of Mayo , we have painted with a broad brush, suggesting that improved diagnostic techniques are not patent eligible. Mayo did not go so far, and given the import of diagnostic techniques, we should reconsider this case and clarify our precedent. Because my colleagues have declined to do so, there are no more options at this court for diagnostic patents. My colleagues' refusal deflates the Amici's hopeful suggestion that our precedent leaves the eligibility of a diagnostic claim in front of the Federal Circuit "uncertain." It is no longer uncertain. Since Mayo , every diagnostic claim to come before this court has been held ineligible. While we believe that such claims should be eligible for patent protection, the majority of this court has definitively concluded that the Supreme Court prevents us from so holding. No need to waste resources with additional en banc requests. Your only hope lies with the Supreme Court or Congress. I hope that they recognize the importance of these technologies, the benefits to society, and the market incentives for American business. And, oh yes, that the statute clearly permits the eligibility of such inventions and that no judicially-created exception should have such a vast embrace. It is neither a good idea, nor warranted by the statute. I dissent.
Newman, Circuit Judge, with whom Wallach, Circuit Judge, joins, dissenting from denial of the petition for rehearing en banc.
The majority of the court has voted not to rehear this case en banc. I write again in dissent because of the importance of medical diagnosis and the critical role of the patent system in achieving new diagnostic methods. Diagnostic methods are costly in research and development, from scientific discovery through federal approval, and are of substantial public benefit-exemplified by Athena's method of diagnosing Myasthenia Gravis in persons previously undiagnosable. The patent system provides the economic foundation for the cycle of experimental study, clinical evaluation and proof, and implementation in commerce. This foundation applies to diagnosis as well as to treatment.
The panel majority held that the new diagnostic method in
The majority's position is a flawed interpretation of the Court's decision in
Mayo Collaborative Services v. Prometheus Laboratories, Inc.
,
I summarize the reasons for concern:
The Supreme Court's Mayo decision did not convert diagnostic methods into laws of nature
Until Athena's invention of the diagnostic method described in the '820 patent, some 20% of patients suffering from
Myasthenia Gravis
were not capable of being diagnosed. The '820 patent describes and claims a multi-step method wherein for such patients the presence in bodily fluid of autoantibodies to a protein, muscle-specific tyrosine kinase (MuSK), is detected by "binding of a MuSK or its epitope, together with a revealing label, to the autoantibodies in the serum or bodily fluid." '820 patent, col. 3, l. 66-col. 4, l. 2. The '820 patent explains that "[t]he present inventors surprisingly found that many of the 20% of MG patients which do not exhibit any autoantibodies to AChR [acetyl choline receptor] instead have IgG [immunoglobulin] antibodies directed against the extracellular N-terminal domains of MuSK."
These antibodies and their reaction with the MuSK protein were not known, nor the use of this procedure to diagnose
Myasthenia Gravis
. The separate chemical steps of radioactive labelling, reaction of an antibody with a protein, separation of the reaction product, and analysis of radioactivity, are described in the specification as conducted by conventional methods. However, the panel majority held that this new diagnostic method is not patent-eligible, stating that "claims 7-9 are directed to a natural law because the claimed advance was only in the discovery of a natural law, and that the additional recited steps only apply conventional techniques to detect that natural law."
Athena
,
At issue are patent claims 7-9, shown with claim 1 from which they depend:
1. A method for diagnosing neurotransmission or developmental disorders related to muscle specific tyrosine kinase (MuSK) in a mammal comprising the step of detecting in a bodily fluid of said mammal autoantibodies to an epitope of muscle specific tyrosine kinase (MuSK).
7. A method according to claim 1, comprising
contacting MuSK or an epitope or antigenic determinant thereof having a suitable label thereon, with said bodily fluid,
immunoprecipitating any antibody/MuSK complex or antibody/MuSK epitope or antigenic determinant complex from said bodily fluid and
monitoring for said label on any of said antibody/MuSK complex or antibody/MuSK epitope or antigen determinant complex,
wherein the presence of said label is indicative of said mammal is suffering from said neurotransmission or developmental disorder related to muscle specific tyrosine kinase (MuSK).
8. A method according to claim 7 wherein said label is a radioactive label.
9. A method according to claim 8 wherein said label is 125I [iodine isotope 125].
The reaction between the specified antibodies and the MuSK protein was not previously known, and the specified claim steps had not previously been performed, separately or in combination. This method of diagnosing Myasthenia Gravis and related disorders is conceded to be new and unobvious.
The '820 patent specification teaches that each claim step is conducted by conventional procedures, that is, procedures for creating a radioactively labelled compound, reacting an antibody with a protein, separating any antibody-protein complex, and monitoring the radioactivity of the product. The panel majority holds that since the separate steps are "conventional," they do not count in the section 101 analysis, leaving claims 7-9 with only the general "concept" of "the correlation between the presence of naturally-occurring MuSK autoantibodies in bodily fluid and MuSK-related neurological diseases like MG."
Athena
,
The Court in
Mayo
admonished against "too broadly preempt[ing] the use of a natural law."
Statute and precedent require that the claimed invention is considered as a whole
The Court explained this principle in
KSR Int'l Co. v. Teleflex Inc.
,
[I]nventions in most, if not all, instances rely upon building blocks long since uncovered, and claimed discoveries almost of necessity will be combinations of what, in some sense, is already known.
In determining the eligibility of respondents' claimed process for patent protection under § 101, their claims must be considered as a whole.
It is inappropriate to dissect the claims into old and new elements and then to ignore the presence of the old elements in the analysis.
The "novelty" of any element or steps in a process, or even of the process itself, is of no relevance in determining whether the subject matter of a claim falls within the § 101 categories of possibly patentable subject matter.
This established rule does not evaporate when the subject matter is a diagnostic method. The
Mayo
Court did not effect such a change. The Court reiterated in
Alice Corp. Pty. Ltd. v. CLS Bank Int'l
,
The purpose of section 101 is to provide a broad statutory scope to inventive activity.
See
Bilski v. Kappos
,
too broad an interpretation of this exclusionary principle could eviscerate patent law. For all inventions at some level embody, use, reflect, rest upon, or apply laws of nature, natural phenomena, or abstract ideas.
The Federal Circuit has respected this long-standing principle in contexts other than for diagnostic methods.
See, e.g.
,
McRO, Inc. v. Bandai Namco Games America Inc.
,
When viewed on correct law and precedent, Athena's diagnostic method meets the requirements of section 101. The appropriate analysis of patentability is under sections 102, 103, and 112 ; not section 101.
The Court in Mayo did not create a section 101 distinction between diagnostic methods and therapeutic methods
In
Mayo
the Court discussed the method at issue in that case, and concluded that "upholding the patents would risk disproportionately tying up the use of the underlying natural laws, inhibiting their use in the making of further discoveries."
Athena's diagnostic method is not a law of nature; it is a novel man-made method of diagnosis of a neurological disorder. The Athena diagnostic method, a multi-step method performed by a combination of specific chemical and biological steps, was unknown in the prior art. The Court in Mayo did not exclude such methods from eligibility for patenting.
Following is an outline of this court's inconsistent rulings between diagnosis and treatment of disease:
A. Methods of diagnosis, held ineligible under section 101
1.
In re BRCA1- & BRCA2-Based Hereditary Cancer Test Patent Litigation
,
2.
Ariosa Diagnostics, Inc. v. Sequenom, Inc.
,
3.
Genetic Technologies Ltd. v. Merial L.L.C.
,
4.
Cleveland Clinic Foundation v. True Health Diagnostics LLC
,
5.
Roche Molecular Systems, Inc. v. CEPHEID
,
6.
Cleveland Clinic Foundation v. True Health Diagnostics LLC
,
In all of these diagnostic cases the claims were held ineligible under section 101, whether or not the method of diagnosis was new and unobvious, and independent of patentability under sections 102, 103, and 112.
B. Methods of treatment, held eligible under section 101
1.
Rapid Litigation Management Ltd. v. CellzDirect, Inc.
,
2.
Vanda Pharmaceuticals Inc. v. West-Ward Pharmaceuticals Int'l Ltd.
,
3.
Natural Alternatives Int'l, Inc. v. Creative Compounds, LLC
,
4.
Endo Pharmaceuticals Inc. v. Teva Pharmaceuticals USA, Inc.
,
The amici curiae advise on the consequences of our rulings 1
The major biotech industry organizations advise that our court's application of
Mayo
"has caused great uncertainty to the
industry, and ... has called into doubt innumerable biotech patents." Biotechnology Innovation Organization (BIO) Br. at 3. BIO discusses the inconsistency of our section 101 rulings, and points out that "[t]he panel decision reflects a troubling divergence in this court's section 101 jurisprudence between software and biotech inventions," explaining that in software cases the threshold analysis focuses on whether the claims contain a technical improvement over the prior art, whereas this aspect is absent from our biotech analyses.
Id.
at 9,
The amici discuss the adverse effect of our section 101 rulings on advances in medical diagnosis. Seven Law Professors state that "diagnostic tests form[ ] the basis of 60%-70% of all medical treatment decisions," and "[d]iagnostic tests have immense benefits for patient care and greatly reduce associated costs, including decreasing hospitalization and avoiding unnecessary treatment." Profs. Br. at 11 (citing The Value of Diagnostics Innovation, Adoption and Diffusion into Health Care (July 2005), available at https://dx.advamed.org/sites/dx.advamed.org/files/resource/Lewin%20Value%20of%20Diagnostics%20Report.pdf).
The Law Professors state that "[t]he economics of the R&D and commercialization of innovative diagnostic tests reflect the core economic justification for the patent system: The marginal cost of making a diagnostic test is relatively low, but the
ex ante
R&D costs can be enormous," stating that the cost of commercializing a diagnostic test is between $ 50-$ 100 million.
Amici curiae Freenome Holdings and Achillion Pharmaceuticals suggest that our jurisprudence contravenes "promot[ing] the Progress of Science and useful Arts." U.S. Const. art. I, § 8, cl. 8. These amici point to the judicial duty to construe section 101 to include both inventions and discoveries, and that discovery of a new diagnostic method is within the constitutional purpose.
I repeat that "the public interest is poorly served by adding disincentive to the development of new diagnostic methods. This is a severe criticism; and when presented by the entire industry, and stressed by thoughtful scholars, it warrants judicial attention."
Athena
,
The need for en banc action
The judicial responsibility is to provide clear and consistent law in conformity with statute. Our holdings on medical diagnostics contravene the admonition that courts "should not read into the patent laws limitations and conditions which the legislature has not expressed."
Chakrabarty
,
The legislative plan is for an incentive system that supports advances in useful technologies by enabling innovators to benefit economically. The patent statute requires that the new knowledge is disclosed to the public, where it adds to the body of knowledge and, in turn, may be studied and built upon. No benefit has been suggested by excluding medical diagnostic methods from the patent incentive system.
This case presents an opportunity for judicial review and judicial remedy. Although diagnostic methods are not the only area in which section 101 jurisprudence warrants attention, Federal Circuit precedent is ripe for reconsideration specific to diagnostic methods, to correct our application of the Mayo decision and to restore the necessary economic incentive. As summarized by Senators Chris Coons and Thom Tillis, co-chairs of the Senate Subcommittee that is conducting hearings on proposed remedial legislation, "courts have clouded the line to exclude critical medical advances like life-saving precision medicine and diagnostics," and "studies showed that investors familiar with the current lack of clarity invest less in critical research and development in areas like medical diagnostics." The Senators stated that "[e]ven some witnesses advocating against broad reform conceded that there are problems with the current system, particularly in the life sciences." Report available at https://www.law360.com/articles/1171672/what-coons-and-tillis-learned-at-patent-reform-hearings (June 21, 2019).
From my colleagues' denial of en banc review, I respectfully dissent.
Stoll, Circuit Judge, with whom Wallach, Circuit Judge, joins, dissenting from the denial of the petition for rehearing en banc.
In a series of cases since the Supreme Court's decision in
Mayo Collaborative Services v. Prometheus Laboratories, Inc.
,
Federal Rule of Appellate Procedure 35 directs us to order rehearing en banc when "the proceeding involves a question of exceptional importance." Fed. R. App. P. 35(a)(2). A question is of exceptional importance if it creates "important systemic consequences for the development of the law and the administration of justice."
Watson v. Geren
,
Interpreting Mayo , our prior opinions seem to take for granted that the Supreme Court has foreclosed all avenues of patent protection for diagnostic claims. As Judge Moore points out, we have held every diagnostic claim in every case before us ineligible.
Dissent Op. at 1352-53 (Moore, J.). Our inflexible following of
Mayo
has created flawed decisions that are inconsistent with the precepts of
Mayo
and our patent system as a whole. The
Mayo
test was guided by broad-sweeping principles that are not applicable to every individual diagnostic claim. For example,
Mayo
emphasizes that patent eligibility cannot apply to "processes that too broadly preempt the use of a natural law."
Given the importance of this question, I would urge the en banc court to take the opportunity to entertain the thoughtful argument and fully developed record that such review would provide, and reconsider this critically important issue. As Congress's recent interest in § 101 legislation has demonstrated, there are a variety of stakeholders that consider this issue to be vitally important. En banc rehearing would not only permit us to have a more extensive view of the various considerations underlying Mayo , but it would also allow us to create judicial doctrine geared toward the practical application of Mayo 's principles. At the very least, en banc review would help the court develop an articulable standard for its § 101 jurisprudence moving forward.
In my view, by consistently bypassing en banc review of a critical issue that goes to the heart of this court's jurisdiction, we are abdicating our responsibility. For this reason, I respectfully dissent.
O'Malley, Circuit Judge, dissenting from the denial of the petition for rehearing en banc.
I agree with all aspects of Judge Moore's thoughtful dissent. Indeed, I agree with all my dissenting colleagues that our precedent applies the Supreme Court's holding in
Mayo Collaborative Services v. Prometheus Laboratories, Inc.
,
I begin with some historical perspective. After World War II, federal courts were invalidating patents at break-neck speed. Lawrence Baum,
The Federal Courts and Patent Validity: An Analysis of the Record
, 56 J. Patent Office Soc'y 758, 760 tbl. 1 (1974) (showing that federal appellate courts, on average, invalidated patents at a rate of 77% between 1941-1945), 777 tbl. 5 (showing that the Supreme Court invalidated patents at a rate higher than 81% from 1921-1973, except during 1953-1964 when the Court did not issue any decisions on patent validity). As Justice Jackson wrote, it seemed the only valid patent was "one which [the Supreme Court] ha[d] not been able to get its hands on."
Jungersen v. Ostby & Barton Co.
,
Prominent jurists of that time remarked that the requirement was unworkable. Judge Learned Hand opined that, under this requirement, " 'invention' became perhaps the most baffling concept in the whole catalogue of judicial efforts to provide postulates for indefinitely varying occasions."
Lyon v. Bausch & Lomb Optical Co.
,
Congress attempted to address these criticisms by amending the Patent Act to replace the ill-defined and judicially-created invention requirement with the more workable anticipation and obviousness tests codified in Sections 102 and 103. Patent Act of 1952, Pub. L. No. 82-593, § 103,
But although Congress so amended the Act decades ago, we continue to apply the invention requirement today under a new name-the "inventive concept" requirement. Early cases applying § 101 after the 1952 amendment, such as
Parker v. Flook
,
In fact, the disagreement here centers on whether the additional limitations in the claims, either individually or as an ordered combination, satisfy the inventive concept requirement. Compare Lourie Op. at 1336 ("Under Supreme Court precedent, I do not believe that specific yet purely conventional detection steps impart eligibility to a claim that otherwise only sets forth what the Court has held is a natural law." (internal quotations omitted)), with Moore Op. at 1362 ("These [additional] steps are not set out at the 'high level of generality' that concerned the Court in Mayo , and they specifically confine their reach to a specific application of the relationship between anti-MuSK antibodies and MG."). Had the Supreme Court not disregarded Congress's wishes for a second time, perhaps the outcome in this case would be different. See Lourie Op. at 1335 ("If I could write on a clean slate, ... I would not exclude uses or detection of natural laws."). Indeed, claims directed to uses of natural laws rather than the natural laws themselves would be eligible under § 101 as written. Because the Supreme Court judicially revived the invention requirement and continues to apply it despite express abrogation, I dissent to encourage Congress to clarify that there should be no such requirement read into § 101 ; to clarify that concepts of novelty and "invention" are to be assessed via application of other provisions of the Patent Act Congress designed for that purpose.
927 F.3d 1333 (Athena Diagnostics, Inc. v. Mayo Collaborative Servs., LLC) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.