Allergan, Inc. And Allergan Sales, Inc. v. Alcon Laboratories, Inc., Alcon Research, Ltd., and Alcon Universal, Ltd., and Bausch & Lomb, IncorporatedAllergan, Inc. And Allergan Sales, Inc. v. Alcon Laboratories, Inc., Alcon Research, Ltd., and Alcon Universal, Ltd., and Bausch & Lomb, Incorporated
Lead Opinion
Opinion concurring in the judgment filed by Circuit Judge SCHALL, in which Circuit Judge CLEVENGER joins.
Opinion concurring in the judgment filed by Circuit Judge LINN.
This appeal presents the question of whether the Drug Price Competition and Patent Term Restoration Act of 1984, Pub.L. No. 98-417, 98 Stat. 1585 (1984) (codified at
This question arises in the context of a suit by Allergan, Inc. and Allergan Sales, Inc. (“Allergan”) against Alcon Laboratories, Inc., Alcon Research, Ltd., and Alcon Universal, Ltd. (“Alcon”), and Bausch & Lomb, Incorporated (“B & L”) for infringement of United States Patent Nos. 6,194,415 (the “'415 Patent”) and 6,248,741 (the “'741 Patent”). The '415 patent claims a method of protecting the optic nerve through the administration of the drug brimonidine, while the '741 patent claims a method of neural protection through the administration of brimonidine. Brimonidine itself is not patented, and the FDA has not approved brimonidine for the uses claimed in the '415 and '741 patents. However, brimonidine is effective for those uses.
Allergan initiated suit in the United States District Court for the Central District of California after Alcon and B & L submitted ANDAs to the FDA seeking approval for the production and sale of a generic version of brimonidine for the reduction of intraocular pressure, a use different from the uses for brimonidine claimed in the '415 and '741 patents. Al-lergan charged Alcon and B & L with induced infringement under the authority of
Prior to January 16, 2003, the question presented in this case represented an issue of first impression. On that day, however, a panel of this court decided Warner-Lambert Co. v. Apotex Corp.,
I. The Hatch-Waxman Act
We recently stated that, in the Hatch-Waxman Act, “Congress struck a balance between two competing policy interests: (1) inducing pioneering research and development of new drugs and (2) enabling competitors to bring low-cost, generic copies of those drugs to market.” Andrx Pharma., Inc. v. Biovail Corp., 276 F.8d 1868, 1371,
Prior to the passage of the Act, all drug manufacturers, brand name and generic, had to perform controlled studies to demonstrate that a new drug would be safe and effective for its intended use.
Before a drug manufacturer can market a new drug, it must obtain FDA approval.
the patent number and the expiration date of any patent which claims the drug for which the applicant submitted the application or which claims a method of using such drug and with respect to which a claim of patent infringement could reasonably be asserted if a person not licensed by the owner engaged in the manufacture, use, or sale of the drug.
To attain a balance between the interests of brand name pharmaceutical companies and generic drug manufacturers, Congress, as part of the Hatch-Waxman Act, legislated that a generic drug manufacturer may, without liability for infringement, use a drug claimed in a patent or a method of using a drug claimed in a patent in order to prepare an application for FDA approval of a generic drug.
The ANDA process imposes a certification requirement with respect to patents covering the drug that has been approved by the FDA. A generic drug manufacturer must certify in its ANDA the following with respect to each patent “which claims the [drug previously approved by the FDA] or which claims a use for [that] drug for which the applicant is seeking approval ... and for which information is required to be filed” for listing in the Orange Book: (i) such patent information has not been filed; (ii) the approved drug’s patent has expired; (iii) the date the approved drug’s patent will expire; or (iv) the approved drug’s patent “is invalid or will not be infringed by the manufacture, use, or sale” of the generic drug for which the ANDA is being submitted (a “Paragraph IV certification”).
As suggested by the certification process, a generic drug manufacturer may file an ANDA before a patent expires and, in so doing, allege non-infringement and invalidity of the patent.
A generic drug manufacturer who files an ANDA containing a Paragraph IV certification must notify the owner of the unexpired patent that is the subject of the certification.
II. The '415 and '741 Patents
This case arises out of Alcon’s and B & L’s efforts to market a generic version of Allergan’s medication, Alphagan. Alpha-gan is used in the treatment of open-angle glaucoma, a disease of the eye that results in the deterioration of vision. Open-angle glaucoma is caused by damage to the optical cells, but it is unknown exactly how this damage occurs. For years, the accepted belief of the medical profession was that the disease was caused by exceptionally high intraocular pressure (“IOP”), resulting from a failure of the eye fluid, called aqueous humor, to properly drain. The high pressure in the eye presumably bore down on the optic nerve, thereby damaging it. Drug manufacturers sought pharmaceutical components that reduced IOP in the eye in order to treat glaucoma.
On September 6, 1996, Allergan obtained approval of its NDA for the drug, brimonidine, the chemical compound in Al-phagan, for reducing IOP. As a result, Allergan received a five-year period of market exclusivity for brimonidine plus a six-month extension for researching the health effects and safety of the drug in children. This exclusive term expired on March 6, 2002. Brimonidine is not protected by a patent and is therefore in the public domain.
More recently, scientists have discovered that open-angle glaucoma also occurs in patients with low IOP. They therefore conjecture that it may be a neurodegenerativo disease of the optic nerve. Upon further investigation, Allergan’s scientists discovered that brimonidine helps prevent neuro-degeneration. This discovery led Allergan to file for the '415 and '741 patents, each of which is a method of use patent. The '415 and '741 patents do not claim the use of brimonidine for reducing IOP. That use, like the drug itself, is unpatented and in the public domain.
The '415 and the '741 patents claim methods of using brimonidine for treating ocular neural injuries, such as open-angle glaucoma. The '415 patent claims “[a] method of protecting the optic nerve and retina of a mammal comprising administering to said mammal suffering from or at risk of suffering a noxious action on said nerve cells an effective amount of [brimon-idine] to inhibit or prevent nerve cell injury or death .... ” '415 patent, col. 17, 11. 35-39, col. 18, 11. 1-25. The first dependent claim defines the noxious action as “glaucomatous optic neuropathy.” '415 patent, col. 18, 31. 26-27. The '741 patent claims “[a] method of providing neural protection to a mammal comprising administering to said mammal suffering from or at risk of suffering a noxious action on its nerve cells an effective amount of [brimon-idine] to inhibit or prevent nerve cell injury or death ...'741 patent, col. 17, 11. 27-39, col. 18,11. 1-8. The first dependent claim defines the noxious action as being “a result of a crushed or compressed nerve.” ’ '741 patent, col. 18, 11. 10-11. Both the '415 patent and the '741 patent are continuations-in-part of application number 08/496,262, now United States Pat
III. Alcon’s and B & L’s ANDAs and Allergan’s Lawsuit
In October of 2001, Alcon filed an ANDA for brimonidine, and in November of 2001, B & L filed one as well. In their ANDAs, Alcon and B & L stated that they were seeking approval from the FDA to produce and sell a generic version of bri-monidine for use in lowering IOP in patients with open-angle glaucoma or ocular hypertension. Neither Alcon nor B & L sought FDA approval for the methods of using brimonidine claimed in the '415 and '741 patents. As part of their respective ANDAs, Alcon and B & L filed Paragraph IV certifications, based on Allergan’s Orange Book listings, indicating that Aller-gan’s '415 and '741 patents were not infringed and that, to the extent Allergan asserted that the patents covered IOP lowering, they were invalid. After Alcon and B & L gave Allergan notice of the filing of their ANDAs for brimonidine, Allergan instituted suit against both companies in the United States District Court for the Central District of California within the 45 day time period set forth in
As noted above, Alcon and B & L moved for summary judgment of non-infringement, arguing that a claim of induced infringement is not cognizable under
Allergan now appeals the district court’s grant of Alcon’s and B & L’s motions for summary judgment. We have jurisdiction pursuant to
DISCUSSION
I. Standard of Review
We review a grant of summary judgment by a district court de novo. Cortland Line Co. v. Orvis Co.,
II. Contentions of the Parties
On appeal, Allergan argues that the district court erred in construing
Alcon responds that the district court properly granted summary judgment against Allergan. Alcon argues that Aller-gan’s suit cannot succeed for two reasons. First, according to Alcon,
For the reasons that follow, we hold that Warner-Lambert Co. v. Apotex Corp.,
III. Whether
The district court stated that “[sjection 271(e)(2) ... provides no new substantive law, but much like the Declaratory Judgment Act,
In short,
IV. Whether Allergan’s Claim of Induced Infringement May be Brought Under
A. Claims of Induced Infringement Under
Preliminarily, we must determine whether, as a general matter,
We do not share the district court’s view of
Finally, we do not agree with the district court that the “case or controversy” requirement of Article III of the Constitution precludes a patentee from bringing a claim of induced infringement under
The case or controversy clause in Article III of the Constitution requires injury in fact, connection between the challenged conduct and the injury, and redressability of the injury by the requested remedy. Steel Co. v. Citizens for a Better Env’t,
Summary judgment of non-infringement under
We must now determine whether Congress has prohibited the particular action for induced infringement brought by Aller-gan.
B. Allergan’s Action for Induced Infringement
The district court concluded that, in the case of a method of use patent,
This issue was decided in Warner-Lambert. Warner-Lambert held that, pursuant to
In the Warner-Lambert case, Warner-Lambert obtained FDA approval through a NDA to market 1-aminomethyl-l-cyclo-hexane acetic acid (“gabapentin”) for use in “adjunctive therapy in the treatment of partial seizures with and without secondary generalization in adults with epilepsy.” This method of use was claimed in United States Patent No. 4,087,544 (the “epilepsy method patent”). Warner-Lambert is also the assignee of a second method of use patent, United States Patent No. 5,084,479 (the “neurodegenerative method patent”), which covers the treatment of neurodegen-erative diseases with gabapentin.
On April 17, 1998, Apotex filed an ANDA seeking approval to market a generic formulation of gabapentin upon the expiration of Warner-Lambert’s epilepsy method patent on January 16, 2000. After Apotex notified Warner-Lambert that it had filed the ANDA and a Paragraph IV certification, Warner-Lambert instituted suit within 45 days in the United States District Court for the Northern District of Illinois. Warner-Lambert alleged that Apotex’s submission of an ANDA for gaba-pentin was an act of infringement of its neurodegenerative method patent under
On appeal, the Warner-Lambert court expressed concern that permitting a cause of action under
The court also determined that “Warner-Lambert would have needed to demonstrate the existence of a genuine issue of material fact to support a traditional infringement claim, ie., that Apotex induced or will induce infringement of the neurode-generative method patent.” Id. at 1356,
Under Warner-Lambert, Allergan is precluded from suing Alcon and B & L under
CONCLUSION
For the foregoing reasons, the decision of the district court granting summary judgment in favor of Alcon and B & L is affirmed.
COSTS
Each party shall bear its own costs.
AFFIRMED.
Notes
. The FDA does not prohibit doctors from prescribing a drug for an unapproved or off-label use, and it does not prohibit patients from using a drug for an unapproved or off-label use. See Warner-Lambert Co. v. Apotex Corp.,
. All references are to statutes set forth in the 2000 version of the United States Code.
. The FDA previously allowed ANDAs for pioneer drugs approved prior to 1962. H.R.Rep. No, 98-857, pt. 1, at 16 (1984), reprinted in 1984 U.S.C.C.A.N. 2647, 2647-48.
. A generic drug manufacturer may also file an ANDA after the corresponding NDA holder’s fourth year of FDA granted market exclusivity ends, if the ANDA contains a Paragraph IV certification under
. Responding to the summary judgment motions, Allergan presented evidence in the form of research papers, patents, and articles suggesting that the neuroprotective functions of brimonidine are well known in the medical field and that doctors are currently prescribing brimonidine for neuroprotective purposes. In addition, Allergan submitted evidence of instances where Alcon allegedly advertised an ANDA approved drug for uses other than those uses approved by the FDA. Finally, Al-lergan presented evidence indicating that Alcon and B & L have included articles on their websites that discuss brimonidine's neu-roprotective properties.
. The Washington Legal Foundation ("WLF”) submitted an amicus curiae brief. WLF argues that the district court erred in.ruling that Allergan’s induced infringement claim does not present a case or controversy as required by Article III. WLF also argues that the plain language of
. Epilepsy is not a neurodegenerative disease; therefore, the neurodegenerative method patent does not implicate the use of gabapentin for epilepsy.
. The gabapentin patent expired prior to Warner-Lambert’s suit.
. Allergan's alternative argument is that
Concurrence Opinion
Because this case is controlled by Warner-Lambert Co. v. Apotex Corp.,
A. §
Statutory interpretation necessarily begins with the text of the statute. Hughes Aircraft Co. v. Jacobson,
(2) It shall be an act of infringement to submit—
(A) an [ANDA] for a drug claimed in a patent or the use of which is claimed in a patent ...
if the purpose of such submission is to obtain approval under [the FDCA] to engage in the commercial manufacture, use, or sale of a drug ... claimed in a patent or the use of which is claimed in a patent ubefore the expiration of such patent.
In interpreting a statute, we presume that Congress intended to give words their ordinary meanings. Asgrow Seed Co. v. Winterboer,
Alcon argues that an action for infringement of a method of use patent may only be brought under
In order to prevail on a claim of infringement under
Absent Warner-Lambert, I would hold that Allergan’s claims of induced infringement against Alcon and B & L are cognizable under
Under my reading of the statute, Aller-gan has stated a cause of action for induced infringement under
Alcon and B & L point to the fact that an ANDA may not seek approval from the FDA for an unapproved use of a drug.
B.
Alcon and B & L point to (i)
(i) The Patent Listing Provision,
The Patent Listing Provision provides in pertinent part as follows:
The applicant shall file with the [NDA] the patent number and expiration date of any patent which claims the drug for which the applicant submitted the application or which claims a method of using such drug and with respect to which a claim of patent infringement could reasonably be asserted if a person not licensed by the owner engaged in the manufacture, use, or sale of the drug.
In my view, Allergan’s reading of the statute is true to its words. First, Congress chose to include the word “any” before “patent.” Congress thus required that “any patent ... which claims a method of using such drug ...” must be fisted.
Alcon also points to the FDA regulation that implements the Patent Listing Provision,
I note at the outset that Alcon’s reading of the regulation is inconsistent with the clear language of
As I read
(ii) The Patent Certification Provision,
The Patent Certification Provision provides in pertinent part as follows:
An [ANDA] shall contain—
(i) information to show that the conditions of use prescribed, recommended, or suggested in the labeling proposed for the new drug have been previously approved for a drug listed under paragraph (7) (hereinafter in this subsection referred to as a “listed drug”);
(vii) a certification ... with respect to each patent which claims the listed drug ... or which claims a use for such listed drug for which the applicant is seeking approval under this subsection and for which information is required to be filed under subsection (b) or (c) of this section—
(I) that such patent information has not been filed,
(II) that such patent has expired,
(III) of 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; and
(viii) if with respect to the listed drug referred to in clause (i) information was filed under [the Patent Listing Provision] for a method of use patent which does not claim a use for which the applicant is seeking approval under this subsection, a statement that the method of use patent does not claim such a use.
Alcon and B & L contend that the words “for which the applicant is seeking approval under this subsection” in clause (vii) refer to the term “use,” not “listed drug.” Therefore, they argue, an ANDA filer is not required to make a Paragraph IV certification with respect to a method of use patent that does not claim a use for which the ANDA filer is seeking FDA approval. Alcon and B & L reason that this demonstrates that
As a matter of statutory interpretation, I believe Allergan is correct. There are two parallel “for which” clauses in the Patent Certification Provision: “for which the applicant is seeking approval under this subsection” and “for which information is required to be filed under subsection (b) or (c) of this section.” The references in the second clause to “subsections (b) and (c) of this section” are to
Alcon and B & L cite the legislative history of the Hatch-Waxman Act concerning the Patent Certification Provision for the proposition that an ANDA applicant need not make a Paragraph IV certification with respect to a patent that claims a method of using a drug for which the ANDA does not seek approval. The legislative history states in relevant part as follows:
... [A]n ANDA must include a certification by the applicant regarding the status of certain patents applicable to the listed drug if the patent information has been submitted under section 505(b) or (c). With respect to all product patents which claim the listed drug and all use patents which claim an indication for the drug for which the applicant is seeking approval (hereinafter described as a controlling use patent), the applicant must certify, in his opinion and to the best of his knowledge, as to one of four circumstances.
If appropriate, the applicant may certify that one or more of the product or controlling use patents provided have expired .... [A]n applicant may certify if applicable that one or more of the product or controlling use patents are invalid or will not be infringed.
The committee recognizes that in some instances an applicant will have to make multiple certifications with respect to product or controlling use patents. For example, if the product patent has expired and a valid controlling use patent will not expire for three years, then the applicant must certify that one patent has expired and the other will expire in three years. The committee intends that the applicant make the appropriate certification for each product and controlling use patent.
H.R.Rep. No. 98-857, pt. 1, at 22, reprinted in 1984 U.S.C.C.A.N. 2647, 2655 (emphasis added).
Alcon and B & L urge that the material quoted from the House Report demonstrates that a claim of infringement under
In any event, Alcon’s and B & L’s reading of the phrase “controlling use patent” leads to an interpretation of the Patent Certification Provision that is inconsistent with what I have just concluded is the plain meaning of the statute. Given its near symmetry with the language of the statute, I do not believe the statement from the House Report upon which Alcon and B & L rely is sufficient to overcome this plain meaning, and therefore, alter the Patent Certification Provision requirement. Garcia v. United States,
Additionally, the Patent Listing Provision, discussed in section (B)(i) supra, requires a NDA holder to submit to the FDA for listing in the Orange Book all patents that claim a method of using the approved drug “with respect to which a claim of patent infringement could reasonably be asserted if a person not licensed by the owner engaged in the manufacture, use, or sale of the drug.”
I agree with Alcon and B & L that Congress intended a generic drug manufacturer to. be able to gain approval from the FDA to manufacture and market an unpatented drug for a use that is not covered by a patent. Both
Finally, Alcon and B & L argue that the exclusive remedies of
(4) For an act of infringement described in paragraph (2)—
(A) the court shall order the effective date of any approval of the drug ... involved in the infringement to be a date which is not earlier than the date of the expiration of the patent which has been infringed,
(B) injunctive relief may be granted against an infringer to prevent the commercial manufacture, use, offer to sell, or sale within the United States or importation into the United States of an approved drug ..., and
(C) damages or other monetary relief may be awarded against an infringer only if there has been commercial manufacture, use, offer to sell, or sale within the United States or importation into the United States of an approved drug....
The remedies prescribed by subpara-graphs (A), (B), and (C) are the only remedies which may be granted by acourt for an act of infringement described in paragraph (2)....
I do note, however, that Alcon’s and B & L’s arguments concerning the Remedy Provision bring into focus the fact that, to a large extent, their contentions in this case are grounded in policy considerations. It is the view of Alcon and B & L and the holding of Warner-Lambert that a method of use patent holder, such as Allergan, should not be able to bring an action for induced infringement under
If Congress determines that the owner of a method of use patent should not have an action for induced infringement against an ANDA filer in the circumstances that exist in this case, or that a more lenient injunctive remedy should be available for infringers of such method of use patents, it can amend
For the foregoing reasons, I respectfully disagree with the decision of the court in Warner-Lambert. I would hold that
. Both Warner-Lambert and this case were argued and submitted for decision the week of October 7, 2002. When Warner-Lambert and this case were argued, the issues they presented were ones of first impression.
. As explained below, a "controlling use patent” is a patent that claims an indication for a drug for which an ANDA applicant is seeking FDA approval.
. A patentee could only allege direct infringement of a method of use patent if the ANDA applicant experimented with or otherwise employed the method of use claimed in the patent and was not protected from infringement by the experimental use exemption granted by the Hatch-Waxman Act. See
. The Warner-Lambert court stated that “[i]n the absence of any evidence that Apotex has or will promote or encourage doctors to in
. These cases do not present a significant threat of abuse by a patent holder attempting to extend its patent exclusion through extensive litigation, because Congress gave district courts the ability to end a party’s attempts to delay litigation by controlling the timing of the suit. See
. See
. The holder of an approved NDA is required to provide the patent number and expiration date of similar method of use patents that are issued after the date the NDA is approved. See
. This court has held that “a generic drug manufacturer cannot bring a declaratory judgment action or an injunctive action against a NDA holder under either the [FDCA] or the patent laws requiring it to take steps to ‘delist’ a patent from the Orange Book.” Andrx Pharms., Inc. v. Biovail Corp.,
. All references are to regulations as set forth in the 2002 version of the Code of Federal Regulations.
. The regulation that governs the content and format of NDAs is set forth at
. On October 24, 2002, the FDA issue a proposed rule that would, among other things, amend
For patents that claim a method of use, the [NDA] applicant shall submit information only on those patents that claim indications or other conditions of use that are the subject of a pending or approved application.
67 Fed.Reg. at 65,451 (emphasis added).
Alcon and B & L argue that the FDA’s proposed rule supports their contention that so-called "off-label” use patents — patents such as the '415 and '741 patents that claim unapproved uses of a drug — "were not intended to serve as the basis for an action under
I am reluctant to look to a notice of proposed rule making as a tool of statutory construction. See Commodity Futures Trading Comm'n v. Schor,
. If a patent is not listed in the Orange Book, a Paragraph I certification may be appropriate.
. As noted in the per curiam opinion, the district court found that, as far as Allergan’s claim of induced infringement against Alcon was concerned, the record before the court was sufficient to present a triable issue of fact or, at the least, was sufficient to permit Aller-gan to conduct discovery under
Concurrence Opinion
concurring in the judgment.
I concur in the conclusion of the panel that this case is controlled by Warner-Lambert Co. v. Apotex Corp.,
While the statutory scheme forming the basis for an ANDA filing is hardly a model of clarity, see Eli Lilly & Co. v. Medtronic, Inc.,
In effect, the court in Warner-Lambert reads the words “the use for which the FDA has granted an NDA” into the statute, concluding that “it is clear that the phrase ‘the use’ in
Warner-Lambert’s proposed interpretation [that “the use” means “any use”] is inconsistent with both of the stated purposes of the Hatch-Waxman Act, and would confer substantial additional rights on pioneer drug patent owners that Congress quite clearly did not intend to confer. If Warner-Lambert’s interpretation were correct, for example, an NDA holder would be able to maintain its exclusivity merely by regularly filing a new patent application claiming a narrow method of use not covered by its NDA. It would then be able to use § 271(e)(2)(A) as a sword against any competitor’s ANDA seeking approval to market an off-patent drug for an approved use not covered by the patent. Generic manufacturers would effectively be barred altogether from entering the market.
Warner-Lambert,
It is for Congress, not this court, to explain why the intent expressed in the plain meaning of the language used in