The biotech giant has appealed against the damages it has to pay over the patent infringement.
Gilead Sciences, Inc. has been subpoenaed to pay $200 million in damages to Merck& Co. for the Hepatitis C drugs patents infringement, according to the orders given by the federal jury in a patent trial.
The damages awarded are significantly lower than what the Kenilworth, New Jersey based firm had initially demanded. But, the trial has not exhausted yet and it has transitioned into a new phase. The San Jose Californian jury has still to decide whether the pharmaceutical company is eligible for seeking the royalties on the sales of the biotech giants blockbuster HCV drugs, Sovaldi and Harvoni.
The pharmaceutical company, Merck, has most recently debuted Zepatier –its hepatitis C drug. The company claims that the active ingredient “sofosbuvir” used in Gilead blockbuster drug relates to the patent the company and its partner Ionis Pharmaceuticals lodged in 2002. Sovaldi and Harvoni, at the moment, are among the top-grossing medicine franchises across the world. The two drugs generated the colossal worldwide revenue of $19.1 billion in the year 2015 which accumulated to be two-thirds of Gilead Sciences total revenue.
Initially, Merck sought for the damages which amounted to be 10% of the Gilead’s drugs US sales through the end of 2015. As per the proposed calculation the damages totaled to be around $23.1 billion. It has also filed claiming the 10% royalties of the two drugs US sales since the inception of 2016.
According to the official statement released by the biotech giant the biologic drug maker will, if the judge upholds the decision, appeal against the $200 million damages awarded to Merck by the jury who passed the order on Thursday night.
Moreover, the Foster City, Calif. firm didn’t accept Merck’s patent claims. It cited that the company had absolutely zero involvement in the development and discovery of sofosbuvir. Neither had it taken any risk for the same therefore the company rightfully reject the validity of the Merck patents and believes that Merck is not eligible to claim damages.
Contrary to the biotech titan beliefs, the federal judge, however, has found Gilead guilty of patent infringement. Later on Tuesday, the jury supported the validity of the patents filed in 2002 for “compounds and methods” relating to the patients inflicted with the hepatitis C virus by Merck and Ionis Pharmaceuticals.
Gilead had earlier claimed that it only gets the access to sofosbuvir when it acquired Pharmasset in 2011. The company further cleared that the acquired company had been working on the development of the sofosbuvir since 2001 which is around a year earlier than when Merck’s patent was filed in 2002. However, Merck rejected such claims and has presented its view stating that the Pharmasset actually used the information presented in the 2002 patents on which the company along with it Carlsbad, Calif. based partner spent substantial amount of money and significant years working.
Merck has expressed that it was the biotech giant, Gilead, who began the suit by seeking a judgment against the Merck’s claims of the patent infringement and to declare that the company’s patents are invalid. Late Thursday, the New Jersey based company said: “The jury’s verdict upholds patent protections that are essential to the development of new medical treatments.”
Gilead’s drugs revolutionized the medicine industry with its 8-12 weeks treatment span of life threatening hepatitis C disease. More than 95% patients have been cured through the drug. The only restraint the drugs earlier had was its high price. Gilead has not yet given any statement relating to the court’s verdict and it is still “going on.” However the company is quite confident about appealing against the decision.
Gilead Sciences, Inc. has been subpoenaed to pay $200 million in damages to Merck& Co. for the Hepatitis C drugs patents infringement, according to the orders given by the federal jury in a patent trial.
The damages awarded are significantly lower than what the Kenilworth, New Jersey based firm had initially demanded. But, the trial has not exhausted yet and it has transitioned into a new phase. The San Jose Californian jury has still to decide whether the pharmaceutical company is eligible for seeking the royalties on the sales of the biotech giants blockbuster HCV drugs, Sovaldi and Harvoni.
The pharmaceutical company, Merck, has most recently debuted Zepatier –its hepatitis C drug. The company claims that the active ingredient “sofosbuvir” used in Gilead blockbuster drug relates to the patent the company and its partner Ionis Pharmaceuticals lodged in 2002. Sovaldi and Harvoni, at the moment, are among the top-grossing medicine franchises across the world. The two drugs generated the colossal worldwide revenue of $19.1 billion in the year 2015 which accumulated to be two-thirds of Gilead Sciences total revenue.
Initially, Merck sought for the damages which amounted to be 10% of the Gilead’s drugs US sales through the end of 2015. As per the proposed calculation the damages totaled to be around $23.1 billion. It has also filed claiming the 10% royalties of the two drugs US sales since the inception of 2016.
According to the official statement released by the biotech giant the biologic drug maker will, if the judge upholds the decision, appeal against the $200 million damages awarded to Merck by the jury who passed the order on Thursday night.
Moreover, the Foster City, Calif. firm didn’t accept Merck’s patent claims. It cited that the company had absolutely zero involvement in the development and discovery of sofosbuvir. Neither had it taken any risk for the same therefore the company rightfully reject the validity of the Merck patents and believes that Merck is not eligible to claim damages.
Contrary to the biotech titan beliefs, the federal judge, however, has found Gilead guilty of patent infringement. Later on Tuesday, the jury supported the validity of the patents filed in 2002 for “compounds and methods” relating to the patients inflicted with the hepatitis C virus by Merck and Ionis Pharmaceuticals.
Gilead had earlier claimed that it only gets the access to sofosbuvir when it acquired Pharmasset in 2011. The company further cleared that the acquired company had been working on the development of the sofosbuvir since 2001 which is around a year earlier than when Merck’s patent was filed in 2002. However, Merck rejected such claims and has presented its view stating that the Pharmasset actually used the information presented in the 2002 patents on which the company along with it Carlsbad, Calif. based partner spent substantial amount of money and significant years working.
Merck has expressed that it was the biotech giant, Gilead, who began the suit by seeking a judgment against the Merck’s claims of the patent infringement and to declare that the company’s patents are invalid. Late Thursday, the New Jersey based company said: “The jury’s verdict upholds patent protections that are essential to the development of new medical treatments.”
Gilead’s drugs revolutionized the medicine industry with its 8-12 weeks treatment span of life threatening hepatitis C disease. More than 95% patients have been cured through the drug. The only restraint the drugs earlier had was its high price. Gilead has not yet given any statement relating to the court’s verdict and it is still “going on.” However the company is quite confident about appealing against the decision.