Centocor Ortho Biotech, Inc. v. Abbott Gmbh & Co., Kg

CourtDistrict Court, District of Columbia
DecidedDecember 18, 2009
DocketCivil Action No. 2009-1653
StatusPublished

This text of Centocor Ortho Biotech, Inc. v. Abbott Gmbh & Co., Kg (Centocor Ortho Biotech, Inc. v. Abbott Gmbh & Co., Kg) is published on Counsel Stack Legal Research, covering District Court, District of Columbia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Centocor Ortho Biotech, Inc. v. Abbott Gmbh & Co., Kg, (D.D.C. 2009).

Opinion

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA

) CENTOCOR ORTHO BIOTECH, INC., ) ) Plaintiff, ) ) Civil Action No. 09-1653 (EGS) v. ) ) ABBOTT GMBH & CO., KG, ) ) Defendant. ) )

MEMORANDUM OPINION

On August 28, 2009, plaintiff Centocor Ortho Biotech, Inc.

(“Centocor”), filed two related patent actions in this Court.

Civil action number 09-1653 seeks review of the United States

Patent and Trademark Office’s decision regarding Patent Number

6,914,128 (the “’128 patent”) pursuant to 35 U.S.C. § 146

(hereinafter, “Civil Action 09-1653” or “Section 146 Action”).

Civil action number 09-1654 seeks a declaratory judgment of non-

infringement and invalidity of the ’128 patent and Patent Number

7,504,485 (the “’485 patent”) (hereinafter, “Civil Action 09-

1654” or “Declaratory Judgment Action”). Pending before the

Court is a motion to transfer venue filed by Defendant Abbot GmbH

& Co., KG (“Abbott GmbH”). Upon consideration of the motion, the

response and reply thereto, the applicable law, and for the

reasons stated below, the Court GRANTS defendant’s motion to

transfer venue. Accordingly, Civil Action 09-1653 and Civil Action 09-1654, shall be transferred to the United States

District Court for the District of Massachusetts, Central

Division (the “District of Massachusetts”) where Abbott GmbH’s

first-filed action is pending.

I. BACKGROUND

On December 12, 2007, the United States Patent and Trademark

Office Board of Patent Appeals and Interferences (“USPTO Board”)

declared an interference between Abbott GmbH’s ’128 patent and

Centocor’s 10/912,994 patent application (the “’994

application”), both of which cover antibodies that bind to the

interleukin-12 (“IL-12”). See Section 146 Action Complaint (“146

Compl.”) ¶ 7; Declaratory Judgment Action Complaint (“DJ Compl.”)

¶ 11. Antibodies that bind to IL-12 are used to treat, among

other things, psoriasis. DJ Compl. ¶ 12. Interference

proceedings were instituted by the USPTO Board to determine which

group of inventors was the first to invent the overlapping

subject matter, as well as the obviousness of the ’128 patent.

Pl.’s Opp’n Br. at 2-3. On August 6, 2009, the USPTO Board ruled

in favor of Abbott GmbH on these issues.

Four days after receiving this ruling, on August 10, 2009,

defendant Abbott GmbH and Abbott Bioresearch Center (“ABC”), a

Massachusetts-based sister company of Abbott GmbH, filed suit

against Centocor in the District of Massachusetts (hereinafter,

the “Massachusetts Litigation”). See Abbott GmbH & Co., KG v.

2 Centocor Ortho Biotech, Inc., No. 09-cv-11340-FDS (D. Mass.)

(Saylor, J.). In the Massachusetts Litigation, Abbott GmbH and

ABC allege that Centocor infringed the ’128 patent and ’428

patent by making, using, selling, or offering for sale STELARA.

Pl.’s Opp’n Br. at 3. STELARA is an antibody product that was

developed by Centocor for the treatment of psoriasis. Pl.’s

Opp’n Br. at 3. STELARA is now approved for sale nationwide,

including in the District of Columbia and Massachusetts. Pl.’s

Opp’n Br. at 10.

On August 28, 2009, after being served with the complaint in

the Massachusetts Litigation, Centocor instituted the Section 146

Action and Declaratory Judgment Action in this Court

(collectively, the “D.C. Litigation”). Pl.’s Opp’n Br. at 3-4.

The Section 146 Action challenges the USPTO Board’s rulings, and

the Declaratory Judgment Action requests declarations of non-

infringement and invalidity of the ’128 and ’485 patents.1

Concluding that its Declaratory Judgment Action would

dispose of all issues pleaded in the Massachusetts Litigation,

1 ABC is not a party to the D.C. Litigation. Centocor explains that it did not name ABC in its Section 146 Action because ABC was not a party to the interference proceedings; similarly, it did not name ABC in its Declaratory Judgment Action because ABC was not an assignee of the ’128 patent or the ’485 patent. Pl.’s Opp’n Br. at 4. Although not relevant to this action, Centocor argues that ABC lacks standing to participate in the Massachusetts Litigation and intends to move to have ABC dismissed pursuant to Federal Rule of Civil Procedure 12(c). See Pl.’s Opp’n Br. at 8 n.1.

3 see Pl.’s Opp’n Br. at 4, Centocor filed a motion to transfer

venue in the District of Massachusetts, seeking transfer of the

Massachusetts Litigation to this Court. See Abbott GmbH & Co.,

KG v. Centocor Ortho Biotech Inc., No. 09-cv-11340-FDS, Docket

No. 11 (D. Mass.) (requesting that the action be transferred to

the District of Columbia “for reasons of efficiency and judicial

economy”);2 see also Pl.’s Opp’n Br. at 1 (“Centocor recognizes

that significant efficiency and economy would flow from having

these actions litigated in the same forum as Abbott GmbH’s claims

in the Massachusetts Litigation, but in view of all the factors

of justice and convenience, this district, not Massachusetts,

should be the forum where all three actions are heard.”). Abbott

GmbH opposes transfer of the Massachusetts Litigation to this

forum. Indeed, on the same day that it filed its opposition

brief in the Massachusetts Litigation, Abbott GmbH filed a motion

in this Court seeking transfer of the D.C. Litigation to the

District of Massachusetts based on the “first-filed rule” and 28

U.S.C. § 1404(a). See infra Part II.

This case, therefore, presents a unique circumstance in

which all parties agree that the pending litigation should be

resolved by one court – either this Court or the District of

Massachusetts. For the reasons discussed below, the Court

2 This motion has not yet been resolved by the District of Massachusetts.

4 determines that it is appropriate to transfer the D.C. Litigation

to the District of Massachusetts.

II. STANDARD OF REVIEW

“The first-to-file rule dictates that when two actions

involving the same subject matter are pending, the first-filed

action should proceed to the exclusion of the later-filed

action.” Intervet, Inc. v. Merial Ltd., 535 F. Supp. 2d 112, 114

(D.D.C. 2008); see also Washington Metro. Area Transit Auth. v.

Ragarose, 617 F.2d 828, 830 (D.C. Cir. 1980) (“For more than

three decades the rule in this circuit has been that [w]here two

cases between the same parties on the same cause of action are

commenced in two different Federal courts, the one which is

commenced first is to be allowed to proceed to its conclusion

first . . . .” (internal quotation marks omitted)). The forum of

the first-filed case is generally favored, “unless considerations

of judicial and litigant economy, and the just and effective

disposition of disputes, requires otherwise.” Elecs. for

Imaging, Inc. v. Coyle, 394 F.3d 1341, 1347 (Fed. Cir. 2005)

(internal quotation marks omitted); see generally Columbia Plaza

Corp. v. Sec.

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