Drug Patent Reverse Payment Settlement Challenge Thrown Out

Third Circuit Judge Joseph Greenaway, Jr., sitting by designation in the District of NJ granted summary judgment in favor of Schering-Plough in a case challenging a reverse payment settlement involving the drug K-Dur 20.  The court held that since the settlements permit the introduction of competing drugs before the expiration of the patent, they could not violate the antitrust laws.  Anticompetitive effects within the scope of the patent, the court held, are not subject to antitrust challenge.

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