Glaxo, Inc. And Glaxo Group Limited v. Torpharm, Inc., Apotex Usa, Inc. And Apotex, Inc.

153 F.3d 1366
Court of Appeals for the Federal Circuit·Decided September 29, 1998·No. 97-1556·Published·Cited by 47 cases

Opinion

PLAGER, Circuit Judge.

This is yet another appeal in the ongoing litigation between the holder of patents on a popular medication, Zantac®, and a number of generic drug companies who are attempting to sell a generic equivalent of the drug. The original United States patent held by plaintiffs, Glaxo, Inc. and Glaxo Group Limited (“Glaxo”), No. 4,128,658 (“the ’658 patent”) covering one form of the active ingredient, expired on July 25,. 1997. Nevertheless, Glaxo continues to seek to prevent other drug companies from manufacturing and selling a generic version based on two of Glaxo’s other United States Patents (Nos. 4,521,431 (“the ’431 patent”) and 4,672,133 (“the ’133 patent”)) covering a second form of the active ingredient. In this case, the district court essentially concluded that Glaxo is impermis-sibly attempting to extend the term of its now expired ’658 patent, and granted the defendants, TorPharm, Inc., Apotex USA, Inc., and Apotex Inc. (collectively “TorP-harm”), summary judgment of non-infringement of the ’431 and ’133 patents.

After careful' consideration, we- conclude that the district court erred in concluding that the defendants were practicing Example 32 of Glaxo’s expired ’658 patent; and thus the court’s resulting conclusion that the defendants are practicing subject matter that was dedicated to the public upon expiration of the ’658 patent is not sustainable. Although the defendants-appellees advance several alternative grounds to affirm, none of them will bear the weight placed on them. We are compelled to vacate and remand this case for further proceedings.

BACKGROUND

Glaxo manufactures arid sells the highly successful anti-ulcer medication Zantac®. The active ingredient in Zantac® is raniti-dine hydrochloride (RHC1), an aminoalkyl fu-ran derivative that can occur in at least two distinct crystalline forms. Glaxo’s ’658 patent, issued in 1978, claimed the class of ami-noalkyl furan derivatives having the desired histamine-blocking activity; and specifically claimed RHC1, the lead compound of the class. At the time the patent application was filed, Glaxo did not know that RHC1 could occur in more than one crystalline form. Later, Glaxo determined that the form of RHG1 obtained by practicing the ’658 patent is a polymorph known as “Form 1.” The ’658 patent covering Form 1 expired on July 25, 1997.

In 1980, a new crystalline polymorph of RHC1 called “Form 2” was discovered by Glaxo scientists. Form 2 exhibits two distinct advantages over Form 1. Form 2 can be prepared and isolated using concentrated hydrochloric acid instead of hydrogen chloride gas, which was required to produce Form 1. Secondly,. Form 2 possesses better drying and filtration characteristics. Both of these advantages make Form 2 easier to manufacture. The physical properties of the Form 2 polymorph provide such advantages that all of Glaxo’s Zantac® product sold since 1981 has contained Form 2 RHC1.

Glaxo obtained two patents on Form 2: the ’431 patent covering the RHC1 crystal *1369 lized as the Form 2 polymorph per se, and the 133 patent covering specific processes for synthesizing Form 2 RHC1. The claims in both of these patents characterize Form 2 RHC1 by means of an infra-red (“IR”) spectrum having 29 identifiable main peaks. The ’431 patent includes a second, dependent claim describing the x-ray powder diffraction pattern of Form 2 RHC1. The ’431 patent covering Form 2 will expire in 2002, and the 133 patent covering the proeéss for making Form 2 will expire in 2004. It is these two Form 2 patents that are the subject of the present suit.

This is not the first time Glaxo has appeared before this court defending its patents related to RHC1. In Glaxo Inc. v. Novopharm Ltd., 52 F.3d 1043, 34 U.S.P.Q.2d 1565 (Fed.Cir.1995) (“Novopharm I”), this court affirmed the judgment of the United^ States District Court for the Eastern District of North Carolina that the claims of the ’431 patent were not anticipated by the ’658 patent. (For purposes of that litigation the parties had stipulated to infringement by the accused product.) In Glaxo, Inc. v. Novopharm Ltd., 110 F.3d 1562, 42 U.S.P.Q.2d 1257 (Fed.Cir.1997) ("Novopharm II”), we affirmed a judgment of the district court that the ’431 patent was not infringed by a different Novopharm product.

Even though we affirmed the district court’s judgment in Novopharm II, we disagreed with its claim construction. The district court interpreted the claims of the ’431 and 133 patents to be limited to “pure Form 2 RHC1.” Id. at 1565, 110 F.3d 1562, 42 U.S.P.Q.2d at 1260. We held that the claims were not so limited. See id. at 1565-66, 110 F.3d 1562, 42 U.S.P.Q.2d at 1260. The constructional issue was not determinative, however, in light of Glaxo’s failure to put forward sufficient evidence to prove infringement. See id. at 1566-67, 110 F.3d 1562, 42 U.S.P.Q.2d at 1260-61. We explicitly declined to address the question of whether small amounts of Form 2 RHC1 in a mixture containing primarily Form 1 RHC1 could infringe the ’431 patent. See id. at 1566 n. 1, 110 F.3d 1562, 42 U.S.P.Q.2d at 1260 n. 1.

TorPharm filed an abbreviated new drug application (“ANDA”) with the U.S. Food & Drug Administration (“FDA”) on June 5, 1995, seeking approval to market a generic version of an anti-ulcer medication containing Form 1 RHC1 after the ’658 patent expired. On August 14,1995, Glaxo sued TorPharm in the Northern District of Illinois, essentially alleging under 35 U.S.C. § 271(e) that TorP-harm’s Form 1 RHC1 product contains a small amount of Form 2 and, therefore, is infringing. Glaxo also sought a declaratory judgment that TorPharm infringes the T33 process patent by manufacturing and selling the drug for which TorPharm was seeking approval.

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Glaxo, Inc. And Glaxo Group Limited v. Torpharm, Inc., Apotex Usa, Inc. And Apotex, Inc., 153 F.3d 1366 (Fed. Cir. 1998).

153 F.3d 1366 (Glaxo, Inc. And Glaxo Group Limited v. Torpharm, Inc., Apotex Usa, Inc. And Apotex, Inc.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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