Ranbaxy Laboratories, Ltd. v. Leavitt

459 F. Supp. 2d 1, 2006 U.S. Dist. LEXIS 24612, 2006 WL 1147797
CourtDistrict Court, District of Columbia
DecidedMay 1, 2006
DocketCivil Action 05-1838 (RWR)
StatusPublished
Cited by3 cases

This text of 459 F. Supp. 2d 1 (Ranbaxy Laboratories, Ltd. v. Leavitt) 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
Ranbaxy Laboratories, Ltd. v. Leavitt, 459 F. Supp. 2d 1, 2006 U.S. Dist. LEXIS 24612, 2006 WL 1147797 (D.D.C. 2006).

Opinion

MEMORANDUM OPINION

ROBERTS, District Judge.

Ranbaxy Laboratories Limited 1 (“Ran-baxy”) and IVAX Pharmaceuticals, Inc. (“IVAX”) each sued the Food and Drug Administration (“FDA”) under 5 U.S.C. § 706 claiming that the FDA improperly nullified Ranbaxy and IVAX’s rights to a 180-day period of exclusive marketing of a generic drug. Ranbaxy and IVAX moved for summary judgment against the FDA seeking to vacate the FDA’s decision. The FDA filed a cross-motion for summary judgment. Because the FDA failed to give full effect to the unambiguous intent of Congress, Ranbaxy and IVAX’s motions for summary judgment will be granted, and the FDA’s cross-motion for summary judgment will be denied.

BACKGROUND

I. FDA STATUTORY AND REGULATORY SCHEME

A. FDA drug approval process and the Hatch-Waxman Amendments

The FDA regulates all drugs under the Federal Food, Drug, and Cosmetic Act *2 (“FDCA”), 21 U.S.C. § 301 et seq. (2000). In 1984, Congress amended the FDCA in passing the Drug Price Competition and Patent Term Restoration Act, known as the Hatch-Waxman Amendments, in order to “make available more low cost generic drugs [.]” 2 H.R.Rep. No. 98-857, pt. 1, at 14 (1984), reprinted in 1984 U.S.C.C.A.N. 2647, 2647. The Hatch-Waxman Amendments attempt to balance the conflicting policy objectives of “inducting] name-brand pharmaceutical firms to make the investments necessary to research and develop new drug products, while simultaneously enabling competitors to bring cheaper, generic copies of those drugs to the market.” Abbott Labs. v. Young, 920 F.2d 984, 991 (D.C.Cir.1990) (Edwards, J., dissenting).

To accomplish these ends, the amendments established new guidelines for the approval of both name-brand and generic drugs. First, for pioneer drugs, a drug manufacturer must submit a new drug application (“NDA”) to the FDA for approval. 21 U.S.C. § 355(a), (b). The NDA must contain studies demonstrating that the drug is safe and effective and must also include the patent number and expiration date of any patents claiming the drug. 21 U.S.C. § 355(b)(1). When the NDA is approved, the FDA lists the patent information in the “Approved Drug Products with Therapeutic Equivalence Evaluations,” known as the “Orange Book.” 21 U.S.C. § 355(c)(2). Once the NDA is approved, the NDA holder may market the new name-brand, pioneer drug.

With the Hatch-Waxman Amendments, Congress also created a streamlined procedure for the FDA to approve quickly generic versions of the name-brand drug. Drug manufacturers are required to file an abbreviated new drug application (“ANDA”), which incorporates the data that the name-brand producer had already submitted to the FDA. In order to obtain the FDA’s approval, the ANDA must demonstrate that a generic drug is “bioequiva-lent” to a name-brand drug. 21 U.S.C. § 355(j)(2)(A)(iv). The applicant must also certify that the generic drug will not infringe any patents listed in the Orange Book which claim the name-brand drug. 21 U.S.C. § 355(j)(2)(A)(vii). An ANDA applicant must certify for each patent listed in the Orange Book:

(I) that such patent information has not been filed,
(II) that such patent has expired, (III) ... the date on which such patent will expire, or (IV) that such patent is invalid or will not be infringed by the manufacture, use, or sale of the new drug for which the application is submitted.

Id.

In a “paragraph IV” certification, the applicant must allege that the patent for the name-brand drug is either (1) invalid, or (2) will not be infringed by the marketing of the generic drug. 21 U.S.C. § 355(j)(2)(A)(vii). The ANDA applicant who files a paragraph IV certification must give notice of such certification to both the patent owner and the holder of the NDA for the drug that is claimed by the patent. 21 U.S.C. § 355(j)(2)(B)(i). The ANDA applicant is required to include in this notice “a detailed statement of the factual and legal basis of the applicant’s opinion that the patent is not valid or will not be *3 infringed.” 21 U.S.C. § 355(j)(2)(B)(ii). The name-brand producer then has 45 days to sue the ANDA applicant. 21 U.S.C. § 355(j)(5)(B)(iii). If the name-brand producer sues, the FDA must wait 30 months before approving the generic manufacturer’s ANDA or until a court finds that the patent is invalid or not infringed, whichever is earlier. Id. If no suit is brought within 45 days, than the FDA may immediately approve the ANDA. Id.

Because filing a paragraph IV certification is an act of infringement under 35 U.S.C. § 271(e)(2)(A), the Hatch-Waxman Amendments give the first ANDA holder to file a paragraph IV certification 180 days of exclusive marketing of the generic product. 21 U.S.C. § 355(j)(5)(B)(iv). This provision states:

If the application contains a [paragraph IV certification] and is for a drug for which a previous application has been submitted under this subsection [containing] 3 such a certification, the application shall be made effective not earlier than one hundred and eighty days after—
(I) the date the Secretary receives notice from the applicant under the previous application of the first commercial marketing of the drug under the previous application, or
(II) the date of a decision of a court in an action described in clause (iii) holding the patent which is the subject of the certification to be invalid or not infringed, whichever is earlier.

Id. The exclusivity period is triggered by a court decision in a patent infringement suit, or the commercial marketing of the generic drug.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Cite This Page — Counsel Stack

Bluebook (online)
459 F. Supp. 2d 1, 2006 U.S. Dist. LEXIS 24612, 2006 WL 1147797, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ranbaxy-laboratories-ltd-v-leavitt-dcd-2006.