Appeals Court Sends Lantus Case Back to District Court
The First Circuit Court of Appeals has sent back to a Massachusetts federal court a case in which purchasers of direct insulin glargine alleged that Sanofi artificially restricted competition in the market for insulin glargine by impermissibly extending its monopoly over such products. The appeals court reported that the purchasers alleged that Sanofi improperly listed a patent in the FDA Orange Book for its Lantus SoloStar delivery device, delaying competition in the insulin glargine market and resulting in inflated prices. They also said that a Sanofi lawsuit alleging infringement of the patent was a “sham” suit that was filed merely to trigger the automatic stay of FDA’s approval of a competing KwikPen. They brought two antitrust claims under the Sherman Act.
The district court dismissed the Sherman Act claims, the appeals court says, reasoning that, as a matter of law, Sanofi’s decision to list the patent was reasonable and not objectively baseless, given what the court deemed to be ambiguities in the FDA listing requirements.
The First Circuit held that the facts and reasonable inferences found in the complaint describe an improper submission of the patent for listing in the Orange Book, that the defenses to antitrust liability as a result of such an improper submission include proving that the submission was the result of a reasonable, good-faith attempt to comply with the Waxman-Hatch scheme, and that the record does not allow for the adjudication of that defense as a matter of law.
The court sent the case back to the district court for further proceedings consistent with its findings.