Pharmacia & Upjohn Co. v. Ranbaxy Pharmaceuticals, Inc.

274 F. Supp. 2d 597, 2003 WL 21758398
CourtDistrict Court, D. New Jersey
DecidedJuly 15, 2003
DocketCIV.A.01-5303 MLC
StatusPublished
Cited by4 cases

This text of 274 F. Supp. 2d 597 (Pharmacia & Upjohn Co. v. Ranbaxy Pharmaceuticals, Inc.) is published on Counsel Stack Legal Research, covering District Court, D. New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pharmacia & Upjohn Co. v. Ranbaxy Pharmaceuticals, Inc., 274 F. Supp. 2d 597, 2003 WL 21758398 (D.N.J. 2003).

Opinion

MEMORANDUM OPINION

COOPER, District Judge.

This matter comes before the Court on motion by plaintiffs, Pharmacia & Upjohn Co. (“Pharmacia”), Sankyo Company Ltd. (“Sankyo”), and Takeda Chemical Industries, Ltd. (“Takeda”) (collectively “plaintiffs”), seeking preliminary injunctive relief to prevent defendants, Ranbaxy Pharmaceuticals, Inc. and Ranbaxy Laboratories Ltd. (collectively “Ranbaxy”) from marketing in the United States an FDA-approved generic copy of a prescription antibiotic product sold in the U.S. by Pharmacia under the trade name VANTIN®.

Plaintiffs possess the exclusive rights to U.S. Patent No. 4,668,783 (“the ’783 patent”), which is due to expire on May 26, 2004. Plaintiffs contend that marketing of the Ranbaxy product in the U.S., prior to expiration of the ’783 patent in May, 2004 *599 will constitute patent infringement and that a preliminary injunction should be entered against Ranbaxy until that time.

The parties approach this case recognizing that Ranbaxy admits that its FDA-approved generic product will be an exact chemical copy of Pharmacia’s YANTIN® product. Ranbaxy defends the injunction motion on two grounds. First, Ranbaxy contends that the ’783 patent does not cover either the accused Ranbaxy product or VANTIN®, and therefore the Ranbaxy product does not infringe that patent. Alternatively, Ranbaxy contends that if the ’783 patent does cover the Ranbaxy product, that patent should have expired long ago in 1995, when several related patents expired. Thus, Ranbaxy should now be free to market its product. This argument is based upon a theory of invalidity due to “obviousness-type double patenting,” discussed below.

The Court has analyzed this motion based upon the written materials and the oral arguments presented by the parties. 1

We conclude that plaintiffs have met their burden to demonstrate a right to the injunctive relief sought. Therefore, upon posting of an appropriate bond the motion will be granted pursuant to Federal Rule of Civil Procedure 65.

1. BACKGROUND AND PROCEDURAL HISTORY

Plaintiff Takeda, a Japanese corporation, is the owner-assignee of the ’783 patent, which was issued on May 26, 1987. (Confoy Deck, Ex. 1: U.S. Patent No. 4,668,783.) 2 Plaintiff Sankyo, a Japanese corporation, is the exclusive licensee of Takeda under the ’783 patent. Plaintiff Pharmacia, a U.S. corporation, is an exclusive sub-licensee of Sankyo under the ’783 patent, with the right to enforce it in cooperation with Sankyo. (Comply 10.) The ’783 patent is directed to a class of antibiotic pharmaceutical products known in the industry as “cefpodoxime proxetil.” 3 {Id. ¶ 9.) It will expire in May, 2004. (Wilp Decl. ¶ 4.)

Defendant Ranbaxy Pharmaceuticals, Inc. is a U.S. corporation, and defendant *600 Ranbaxy Laboratories Ltd. is its parent company, headquartered in India. (Def. Br. at 2.) Both defendants are referred to as “Ranbaxy” for purposes of this motion. On December 19, 2000, Ranbaxy filed two Abbreviated New Drug Applications (“the ANDAs”) with the U.S. Food and Drug Administration (“FDA”), seeking approval to market antibiotics containing cefpodox-ime proxetil in the U.S. (Chattaraj Decl. ¶¶ 3-4; id., Exs. 21, 23.) In this opinion, the Ranbaxy products that will be marketed in the U.S. pursuant to the ANDAs are referred to as “the Ranbaxy product.” The ANDAs refer to the New Drug Application previously approved by the FDA for Pharmacia, which sells its cefpodoxime proxetil products under the trade name VANTIN®. (Charraraj Decl. ¶ 5.) On May 31, 2002, one of Ranbaxy’s ANDAs received FDA approval. 4

This action was commenced by plaintiffs on November 15, 2001, seeking declaratory judgment of infringement and injunctive relief based upon Ranbaxy’s filing of the ANDAs and Ranbaxy’s declared intention to market its product when approved. (Compl. at 1-6.) The Court entered a stipulated order on December 10, 2001 which provided, inter alia, for expedited discovery on the injunctive issues. (Docket entry # 18 (“12-10-01 Order”).) The 12-10-01 Order provided that Ranbaxy would inform the Court of developments with its pending ANDAs, and would not market its product in the U.S. without giving 15-day notice to plaintiffs, in which case plaintiffs could seek an emergency temporary restraining order. (Id. at 4.) Thereafter discovery was conducted on issues relating to injunctive relief, the pleadings were amended several times, and plaintiffs filed the present motion for preliminary injunction on May 3, 2002. The Court conducted oral argument on this and other pending motions on July 19, 2002. 5 (Oral Arg. Tr.) Ranbaxy has not commenced marketing its product as yet, pending the outcome of this motion.

II. DISCUSSION

A. Jurisdiction, Standard for Preliminary Injunction

This Court has subject matter jurisdiction in this patent dispute pursuant to 28 U.S.C. §§ 1331 and 1338(a). Jurisdiction is also proper under the Federal Declaratory Judgment Act, 28 U.S.C. §§ 2201 and 2202.

A party seeking a preliminary injunction against an alleged infringer bears the burden of proving entitlement to relief based upon: (1) a reasonable likelihood of success on the merits; (2) irreparable harm if the injunction is not granted; (3) the balance of hardships tipping in its favor; and (4) a tolerable effect on the public interest. See, e.g., Sofamor Danek Group, Inc. v. DePuy-Motech, Inc., 74 F.3d 1216, 1219 (Fed.Cir.1996); Reebok Int’l Ltd. v. J. Baker, Inc., 32 F.3d 1552, 1555 (Fed.Cir.1994). The Court must balance these factors against one another and against the *601 extent of the relief sought. Hybritech Inc. v. Abbott Lab., 849 F.2d 1446, 1451 (Fed.Cir.1988).

The necessary showing of a likelihood of success must include evidence by the movant that there are no genuine grounds to challenge the “validity” of the patent or the “infringement” of the patent by the accused product. Id. However, a patent is statutorily presumed valid, 35 U.S.C.

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