Vanda Pharmaceuticals Inc. v. Teva Pharmaceuticals USA, Inc.

CourtCourt of Appeals for the Federal Circuit
DecidedMay 10, 2023
Docket23-1247
StatusUnpublished

This text of Vanda Pharmaceuticals Inc. v. Teva Pharmaceuticals USA, Inc. (Vanda Pharmaceuticals Inc. v. Teva Pharmaceuticals USA, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Federal Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Vanda Pharmaceuticals Inc. v. Teva Pharmaceuticals USA, Inc., (Fed. Cir. 2023).

Opinion

Case: 23-1247 Document: 48 Page: 1 Filed: 05/10/2023

NOTE: This disposition is nonprecedential.

United States Court of Appeals for the Federal Circuit ______________________

VANDA PHARMACEUTICALS INC., Plaintiff-Appellant

v.

TEVA PHARMACEUTICALS USA, INC., APOTEX INC., APOTEX CORP., Defendants-Appellees ______________________

2023-1247 ______________________

Appeal from the United States District Court for the District of Delaware in Nos. 1:18-cv-00651-CFC, 1:18-cv- 00689-CFC, 1:19-cv-00560-CFC, 1:19-cv-00685-CFC, 1:19- cv-02202-CFC, 1:19-cv-02375-CFC, 1:20-cv-00083-CFC, 1:20-cv-00093-CFC, 1:20-cv-01104-CFC, 1:20-cv-01333- CFC, 1:21-cv-00121-CFC, 1:21-cv-00282-CFC, Chief Judge Colm F. Connolly. ______________________

Decided: May 10, 2023 ______________________

NICHOLAS P. GROOMBRIDGE, Groombridge, Wu, Baugh- man & Stone LLP, New York, NY, argued for plaintiff-ap- pellant. Also represented by ERIC ALAN STONE, JOSEPHINE YOUNG; JENNIFER REA DENEAULT, DANIEL KLEIN, MICHAEL F. MILEA, Cold Spring, NY. Case: 23-1247 Document: 48 Page: 2 Filed: 05/10/2023

JOHN CHRISTOPHER ROZENDAAL, Sterne Kessler Gold- stein & Fox, PLLC, Washington, DC, argued for defendant- appellee Teva Pharmaceuticals USA, Inc. Also represented by WILLIAM MILLIKEN, BYRON LEROY PICKARD, SASHA RAO, DEIRDRE M. WELLS.

AARON S. LUKAS, Cozen O'Connor P.C., Washington, DC, argued for defendants-appellees Apotex Inc., Apotex Corp. Also represented by WILLIAM BLAKE COBLENTZ; KERI SCHAUBERT, New York, NY. ______________________

Before DYK, BRYSON, and PROST, Circuit Judges. DYK, Circuit Judge. Vanda Pharmaceuticals Inc. sued Apotex Inc. and Apo- tex Corp. (collectively, “Apotex”) and Teva Pharmaceuti- cals USA, Inc. alleging that their abbreviated new drug applications (“ANDAs”) infringed claims in four patents owned by Vanda. Those claims relate to a method of treat- ing Non-24-Hour Sleep-Wake Disorder (“Non-24”) with tasimelteon. The district court held that all of the asserted claims were invalid as obvious. We affirm. BACKGROUND Non-24 is a circadian rhythm disorder that occurs in individuals whose biological clocks are not synchronized, that is, entrained, to the 24-hour day. Non-24 causes too little nighttime sleep and too much daytime sleep. It can be treated by causing entrainment, i.e., synchronizing a person’s circadian rhythm to the 24-hour day. “Approxi- mately 55 to 70 percent of totally blind individuals . . . suf- fer from Non-24.” J.A. 11. Vanda sells a tasimelteon drug product (Hetlioz®) that is approved by the Food and Drug Administration (FDA) Case: 23-1247 Document: 48 Page: 3 Filed: 05/10/2023

VANDA PHARMACEUTICALS INC. v. 3 TEVA PHARMACEUTICALS USA, INC.

and indicated for the treatment of Non-24. Vanda owns patents related to using tasimelteon to treat Non-24. Appellees Teva and Apotex both filed ANDAs with the FDA “seeking approval for the commercial manufacture, use, and sale of tasimelteon.” J.A. 15. At issue in this case are four claims from four different unexpired Vanda-owned patents, U.S. Patent No. RE46,604 (the RE604 patent); U.S. Patent No. 10,149,829 (the ’829 patent); U.S. Patent No. 9,730,910 (the ’910 patent); and U.S. Patent No. 10,376,487 (the ’487 patent), all of which are listed in the FDA’s Orange Book (Approved Drug Products with Therapeutic Equivalence Evaluations) for Hetlioz®. Teva’s and Apotex’s ANDAs both included certifications pursuant to 21 U.S.C. § 355(j)(2)(a)(vii)(IV) (“Paragraph IV Certifi- cations”) alleging that the asserted claims are invalid and that all or most of the claims will not be infringed by the ANDA products. 1 Vanda sued Teva and Apotex in the District of Dela- ware alleging that their ANDA submissions constituted in- fringement of claim 3 of the RE604 patent; claim 14 of the ’829 patent; claim 4 of the ’910 patent; and claim 5 of the ’487 patent. Teva and Apotex stipulated to infringement of claim 5 of the ’487 patent, denied infringement as to the other claims, and alleged that all asserted patent claims were invalid. In a thorough opinion, the district court held that all four claims were invalid for obviousness. The court also held that Teva and Apotex did not infringe claim 3 of the RE604 patent, but did not make infringement findings for the asserted claims in the ’829 patent or ’910 patent.

1 Teva’s certification alleged that no asserted claims would be infringed, and Apotex’s alleged that three of the four asserted claims would not be infringed. Case: 23-1247 Document: 48 Page: 4 Filed: 05/10/2023

Vanda appealed the district court’s obviousness and in- fringement determinations. We have jurisdiction under 28 U.S.C. § 1295(a)(1). DISCUSSION “[W]e review a district court’s conclusions of law de novo and its findings of fact for clear error.” Merck Sharp & Dohme Corp. v. Hospira, Inc., 874 F.3d 724, 728 (Fed. Cir. 2017). “Obviousness is a question of law, based on un- derlying factual findings . . . .” Id. I. RE604 Patent Vanda alleged that Teva and Apotex infringed claim 3 of the RE604 patent, which depends from claims 1 and 2: 1. A method of entraining a patient suffering from Non-24 to a 24 hour sleep-wake cycle in which the patient awakens at or near a target wake time fol- lowing a daily sleep period of approximately 7 to 9 hours, and maintaining said 24 hour sleep-wake cycle said method comprising: treating the patient by orally administering to the patient 20 mg of tasimelteon once daily before a target bedtime. 2. The method of claim 1 wherein the patient is to- tally blind. 3. The method of claim 2 wherein the tasimelteon is administered 0.5 to 1.5 hours before the target bedtime. J.A. 117 (RE604 patent, col. 38, ll. 25–36). The district court held that claim 3 would have been obvious over two combinations of prior art references: Hack, 2 the

2 Lisa M. Hack et al., The Effects of Low-Dose 0.5-mg Melatonin on the Free-Running Circadian Rhythms of Blind Subjects, 18 J. Biological Rhythms 420 (2003). Case: 23-1247 Document: 48 Page: 5 Filed: 05/10/2023

VANDA PHARMACEUTICALS INC. v. 5 TEVA PHARMACEUTICALS USA, INC.

’244 Publication, 3 and Lankford; 4 and, alternatively, Hack, the ’244 Publication, and Hardeland. 5 Vanda claims that the district court made several er- rors in determining that claim 3 was obvious. Vanda first argues that the district court erred in stating that a skilled artisan would look to Hack, a prior art reference that ex- plains that melatonin can be used to entrain blind patients with Non-24, when considering whether there would have been a reasonable expectation that tasimelteon would en- train. The district court did not err. Of course, tasimelteon and melatonin are not identical. See J.A. 19,299–300 (Emens 858:21–859:9) (testimony that melatonin and tasimelteon have different binding affinities for melatonin receptors); J.A. 20,525–26 (Hardeland) (not- ing that melatonin and tasimelteon have some structural differences). However, as Lankford explains, “tasimelteon has high affinity for both the [melatonin] receptors, both in ranges similar to that of melatonin.” J.A. 20,539. The dis- trict court noted that prior art references concluded that tasimelteon and melatonin are similar, and, because of their similarities, “tasimelteon could . . . potentially en- train patients suffering from circadian rhythm sleep disor- ders.” J.A. 25 (citing J.A. 20,523 (Hardeland); J.A. 20,539 (Lankford)). There was no error in the district court’s choice to credit statements in the prior art explaining the similarities between tasimelteon and melatonin and why

3 Int’l Pat.

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