Justia Daily Opinion Summaries

Intellectual Property
April 12, 2024

Table of Contents

Salix Pharmaceuticals, Ltd. v. Norwich Pharmaceuticals Inc.

Intellectual Property, Patents

US Court of Appeals for the Federal Circuit

Murray v. Miracorp, Inc.

Business Law, Civil Procedure, Intellectual Property

Kansas Supreme Court

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Salix Pharmaceuticals, Ltd. v. Norwich Pharmaceuticals Inc.

Court: US Court of Appeals for the Federal Circuit

Docket: 22-2153

Opinion Date: April 11, 2024

Judge: LOURIE

Areas of Law: Intellectual Property, Patents

The case involves Salix Pharmaceuticals, Ltd., Salix Pharmaceuticals, Inc., Bausch Health Ireland Ltd., and Alfasigma S.P.A. (collectively, “Salix”) and Norwich Pharmaceuticals Inc. (“Norwich”). Salix appealed from a final judgment of the United States District Court for the District of Delaware holding certain claims of their patents invalid as obvious. Norwich cross-appealed from an order that issued after the district court concluded that Norwich infringed certain claims of Salix's patents and had failed to prove those claims were invalid.

Salix's patents were related to the treatment of hepatic encephalopathy (“HE”) and irritable bowel syndrome with diarrhea (“IBS-D”) using a specific dosage of the drug rifaximin, and to a specific polymorphic form of rifaximin. The district court found that Norwich's Abbreviated New Drug Application (“ANDA”) for a generic version of rifaximin infringed Salix's patents, but also held certain claims of Salix's patents invalid as obvious.

On appeal, the United States Court of Appeals for the Federal Circuit affirmed the district court's decision. The court found no clear error in the district court's conclusion that a skilled artisan would have had a reasonable expectation of success in administering the claimed dosage regimen for the treatment of IBS-D. The court also affirmed the district court's conclusion that the polymorph patent claims were invalid as obvious. The court further affirmed the district court's order setting the effective approval date of Norwich's ANDA to be no earlier than the date of expiration of the last to expire of the HE patents, and the district court's denial of the motion to modify the final judgment.

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Murray v. Miracorp, Inc.

Court: Kansas Supreme Court

Docket: 124965

Opinion Date: April 5, 2024

Judge: Wilson

Areas of Law: Business Law, Civil Procedure, Intellectual Property

Tracey Murray and the Estate of Robert Murray filed a lawsuit against Miracorp, Inc., NTTS, Inc., Lane Goebel, and Shane Goebel, alleging both legal and equitable claims based on conduct that took place before 2012. The Murrays claimed that they were shareholders in Miracorp and that the company and its officers had breached fiduciary duties, committed fraud, and unjustly enriched themselves at the Murrays' expense. The Murrays also alleged that Miracorp had converted their property and misappropriated trade secrets.

The district court granted summary judgment in favor of Miracorp, ruling that the Murrays' claims were barred by the applicable statutes of limitations. The court found that the Murrays' injuries were reasonably ascertainable in 2011, and thus, the period for filing a lawsuit had expired. The Murrays appealed this decision.

The Kansas Court of Appeals affirmed the district court's decision. The appellate court agreed that the Murrays' claims were time-barred because their injuries were reasonably ascertainable in 2011. The court held that the Murrays had waited too long to investigate and seek redress for their injuries.

The Kansas Supreme Court affirmed the decisions of the lower courts. The court held that the Murrays had a duty to reasonably investigate their suspicions in 2011. The court found that the Murrays did nothing to investigate their suspicions until 2016, which was unreasonable. As a result, the court ruled that the Murrays' claims were barred by the statute of limitations.

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