Rx IP Update

 

September 2011

In this issue:

Federal Court of Appeal sets aside Order of prohibition for latanoprost »

Supreme Court of Canada news »

Health Canada news »

Patented Medicine Prices Review Board news »

Other news »

Recent Court decisions »

Mylan not required to produce documents related to manufacturing process »

AstraZeneca granted Order of prohibition against Mylan regarding anastrozole (ARIMIDEX) »

New Court proceedings »

Federal Court of Appeal sets aside Order of prohibition for latanoprost

The Federal Court of Appeal has set aside an order prohibiting the Minister of Health from issuing a Notice of Compliance to Apotex: Apotex Inc. v. Pfizer Canada Inc., 2011 FCA 236, reversing 2010 FC 447 ("Latanoprost II"). In a previous ruling, the Court of Appeal had dismissed an appeal by Pharmascience Inc. from a prohibition Order issued by the same Federal Court Judge for the same drug and the same patent: Pharmascience Inc. v. Pfizer Canada Inc., 2011 FCA 102, affirming 2009 FC 1294 ("Latanoprost I").

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Supreme Court of Canada news

Eli Lilly files leave to appeal holding of invalidity of atomoxetine patent. As reported in the August 2011 issue of Rx IP Update, the Federal Court of Appeal affirmed the Federal Court's decision that the patent claiming atomoxetine (Eli Lilly's STRATTERA) was invalid on the bases of inutility and lack of sound prediction. Eli Lilly has sought leave to appeal.

Eli Lilly and Company v. Teva Canada Limited (SCC Case No. 34396).
Court of Appeal decision – 2011 FCA 220.
Federal Court decision – 2010 FC 915.

Mylan, Cobalt and Apotex denied leave to appeal prohibition Orders regarding escitalopram. On August 25, 2011, the Supreme Court dismissed leave applications from Mylan (formerly Genpharm), Cobalt and Apotex relating to escitalopram (Lundbeck's CIPRALEX). As reported in the February 2011 issue of Rx IP Update, Cobalt, Mylan and Apotex had applied for leave to appeal a decision of the Federal Court of Appeal, which dismissed the generic manufacturers' appeals on grounds of invalid selection patent, anticipation, obviousness, lack of sound prediction and inutility, ambiguity and insufficiency of disclosure, and procedural fairness and inadequacy of reasons.

Apotex Inc. v. Lundbeck Canada Inc. November 25, 2010.
SCC Case Nos. 34068 (Mylan), 34066 (Cobalt), 34067 (Apotex).
Federal Court of Appeal decision – 2010 FCA 320.
Federal Court decision – 2009 FC 146.

Health Canada news

Posting of Prescribing Information on the Health Canada website. On July 29, 2011, Health Canada announced that effective immediately, Prescribing Information will be posted on its website in the same location as the Product Monograph (in the Drug Product Database (DPD) Online Query). (Notice.)

Proposed revisions to the Guidance Document: PM(NOC) Regulations. On August 17, 2011, Health Canada released proposed revisions to its Guidance Document: Patented Medicines (Notice of Compliance) Regulations for stakeholder consultation. The revisions are being proposed in light of perceived concerns regarding the current requirement that drug manufacturers who submit administrative drug submissions pursuant to a licensing agreement (administrative NDSs and administrative ANDSs), comply with section 5 of the PM(NOC) Regulations. Stakeholders have questioned whether the current requirement is redundant in that a drug manufacturer who submits an administrative drug submission pursuant to a licensing agreement must re-address patents listed on the Patent Register in respect of the innovative drug prior to receiving a Notice of Compliance ("NOC").

The proposed revision states, in part:

...subsequently filed administrative drug submissions that cross-reference the licensor's drug submission pursuant to a licensing agreement will not re-trigger section 5 of the PM(NOC) Regulations. Therefore, such a person cannot make allegations under paragraph 5(1)(b) of the PM(NOC) Regulations and an NOC will be issuable in respect of its administrative drug submission only after the licensor's drug submission receives its NOC.

Any comments should be provided to Health Canada by October 16, 2011 (opml_bmbl@hc-sc.gc.ca). (Notice.)

Patented Medicine Prices Review Board news

New NEWSletter released. The PMPRB has released its July 2011 NEWSletter. (Newsletter.)

Voluntary Compliance Undertakings. The Board recently accepted Voluntary Compliance Undertakings for Bristol-Myers Squibb Canada Co.'s SINEMET CR (levodopa and carbidopa) (Notice) and Paladin Laboratories Inc.'s TRINIPATCH (nitroglycerin) (Notice).

Ratiopharm considered a "patentee" and needs to report to PMPRB. On June 30, 2011, the PMPRB released its decision requiring ratiopharm Inc. ("ratiopharm," now Teva) to provide (i) sales and pricing information with respect to certain medicines it sold in Canada and (ii) revenue and research and development expenditures. This decision followed the same Panel's decision in the excessive-pricing proceeding related to ratiopharm and the medicine ratio-Salbutamol HFA, as reported in the July 2011 issue of Rx IP Update (ratio-Salbutamol decision).

The Panel held that the principles canvassed in its ratio-Salbutamol decision were applicable, and ratiopharm was considered a "patentee" under section 79(1) of the Patent Act with regard to 12 different drugs because it was entitled to exercise rights "in relation to" the patent. The Panel held that it, rather than the parties involved, ought to determine whether ratiopharm's right to sell or resell a medicine amounted to a right "in relation to" a patent pertaining to a medicine sold in Canada. For this reason, and similar to the ratio-Salbutamol decision, an agreement in which the patent rights holder expressly reserved all patent rights was not sufficient to prevent ratiopharm from being considered a patentee for the purposes of the PMPRB.

The Panel looked at the individual circumstances regarding the 12 medicines to determine whether a medicine sold by ratiopharm was a patented medicine during the relevant time periods. In respect of ten drugs (ratio-Omeprazole, -Ketorolac, -Brimonidine, -Paroxetine, -Cefuroxime, -Lamotrigine,
-Acyclovir, -Ramipril, -Sertraline and -Quetiapine), the Panel considered the medicine to be patented, including on the basis that the brand-name supplier reported its sales and pricing information to the PMPRB (in the case of ratio-Sertraline, Pharmascience supplies the medicine to ratiopharm; Pharmascience had entered into an agreement with Pfizer, which reported to the Board regarding ZOLOFT). The Panel held that the two remaining drugs (ratio-Simvastatin and -Diltiazem) were patented medicines because Apotex, who supplied the medicines to ratiopharm under a non-exclusive agreement, held a patent for the process of manufacturing each of the drugs.

In regards to two additional drugs sold by ratiopharm (ratio-Fenofibrate FC and -Tamsulosin), the Panel held that there was a strong inference that a patent pertained to both of the drugs, and ordered ratiopharm to produce further information and documentation to allow the Panel to determine whether it had jurisdiction over these drugs.

Additionally, the Panel held that ratiopharm must report the prescribed information concerning its revenue, and research and development expenditures for each year that ratiopharm is considered a patentee. To address the concern that the amount spent on research and development by pharmaceutical companies reported to Parliament would appear artificially inflated by the amount spent by "generic" companies, the Board proposed to separate out the "generic" and brand-name components of the industry.

Ratiopharm has filed an application for judicial review with the Federal Court.

PMPRB decision – PMPRB-08-D3-ratiopharm decision.
PMPRB Order – PMPRB-08-D3-ratiopharm Board Order.

Other news

Google Inc. pays $500M fine over U.S. drug ads originating from Canadian Internet pharmacies. On August 24, 2011, the U.S. Department of Justice ("Department") announced that Google Inc. had entered into an agreement with the Department to pay $500M for allowing online Canadian pharmacies to place advertisements through its AdWords program targeting consumers in the United States. The press release indicates that Google had knowledge that the Canadian pharmacies were advertising through its AdWords program, and that U.S. consumers were purchasing prescription drugs from these online pharmacies. In return for no criminal prosecutions, in addition to the fine, Google also agreed that it will cooperate with the government's ongoing investigations, and to two years probation.

Press Release, Non-prosecution Agreement.

Recent Court decisions

Patented Medicines (Notice of Compliance) Regulations

Mylan not required to produce documents related to manufacturing process. Bristol-Myers Squibb Canada Co. ("BMS") appealed from a Prothonotary's refusal of a request, pursuant to section 6(7) of the Regulations, for production of Mylan's documents related to a manufacturing process for efavirenz (BMS's SUSTIVA). Justice Mactavish determined that the Prothonotary did not err in concluding on a balance of probabilities standard that the requested information was neither important nor required. In particular, the Court agreed that the expert evidence adduced on the motion, which alleged potential conversion of Mylan's efavirenz starting material to the crystal form claimed by the patent at issue during manufacturing, was more equivocal or speculative than that adduced in GlaxoSmithKline Inc. v. Pharmascience Inc. (2002 FCT 683), wherein a similar request for production was granted. BMS has appealed the decision (A-278-11).

Bristol-Myers Squibb Canada Co. et al. v. Mylan Pharmaceuticals ULC, July 25, 2011.
Federal Court decision – 2011 FC 919.

AstraZeneca granted Order of prohibition against Mylan regarding anastrozole (ARIMIDEX). On August 29, 2011, the Federal Court granted an Order of prohibition holding that Mylan's allegation of invalidity of the patent claiming anastrozole (AstraZeneca's ARIMIDEX) was not justified. Mylan had alleged that the patent was invalid on the bases of obviousness and that utility had not been demonstrated or soundly predicted at the time of filing the patent application. The Court held that the patent promised inhibition of the enzyme aromatase, and that the inventors had demonstrated the promised utility. The Court also rejected Mylan's obviousness argument. Mylan may appeal as of right.

AstraZeneca Canada Inc. v. Mylan Pharmaceuticals ULC, August 29, 2011.
Federal Court decision – 2011 FC 1023.

New Court proceedings

Patented Medicines (Notice of Compliance) Regulations

Medicine:

valganciclovir (VALCYTE)

Applicant:

Hoffmann-La Roche Limited

Respondents:

Apotex Inc and The Minister of Health

Respondent/Patentee:

F Hoffmann-La Roche AG

Date Commenced:

July 29, 2011

Court File No.:

T-1247-11

Comment:

Application for Order of prohibition until expiry of Patent No. 2,154,721. Apotex alleges non-infringement and invalidity.

Medicine:

rosuvastatin calcium (CRESTOR)

Applicants:

AstraZeneca Canada Inc, AstraZeneca AB and Shionogi Seiyaku Kabushiki Kaisha

Respondents:

Laboratoire Riva Inc and The Minister of Health

Date Commenced:

July 29, 2011

Court File No.:

T-1249-11

Comment:

Application for Order of prohibition until expiry of Patents Nos. 2,072,945 and 2,313,783. Riva alleges non-infringement and invalidity.

Medicine:

rosuvastatin calcium (CRESTOR)

Applicants:

AstraZeneca Canada Inc and AstraZeneca AB

Respondents:

Laboratoire Riva Inc and The Minister of Health

Date Commenced:

July 29, 2011

Court File No.:

T-1250-11

Comment:

Application for Order of prohibition until expiry of Patent No. 2,315,141. Riva alleges non-infringement and invalidity.

Medicine:

quetiapine fumarate (SEROQUEL XR)

Applicants:

AstraZeneca Canada Inc and AstraZeneca UK Ltd

Respondents:

Teva Canada Ltd and The Minister of Health

Date Commenced:

August 3, 2011

Court File No.:

T-1259-11

Comment:

Application for Order of prohibition until expiry of Patent No. 2,251,944. Teva alleges non-infringement and invalidity.

Medicine:

telmisartan/hydrochlorothiazide (MICARDIS PLUS)

Applicants:

Boehringer Ingelheim (Canada) Ltd and Boehringer Ingelheim Pharma GmbH & Co KG

Respondents:

Pharmascience Inc and The Minister of Health

Date Commenced:

August 17, 2011

Court File No.:

T-1331-11

Comment:

Application for Order of prohibition until expiry of Patent No. 2,352,436. Pharmascience alleges non-infringement.

Medicine:

telmisartan/hydrochlorothiazide (MICARDIS PLUS)

Applicants:

Boehringer Ingelheim (Canada) Ltd and Boehringer Ingelheim Pharma GmbH & Co KG

Respondents:

Pharmascience Inc and The Minister of Health

Date Commenced:

August 17, 2011

Court File No.:

T-1332-11

Comment:

Application for Order of prohibition until expiry of Patent No. 2,472,392. Pharmascience alleges non-infringement.

Medicine:

lamivudine/zidovudine (COMBIVIR)

Applicants:

ViiV Healthcare Shire Canada and Viiv Healthcare UK Ltd

Respondents:

Teva Canada Ltd and The Minister of Health

Date Commenced:

August 23, 2011

Court File No.:

T-1364-11

Comment:

Application for Order of prohibition until expiry of Patents Nos. 2,068,790, 2,070,230 and 2,311,988. Teva alleges non-infringement and invalidity.

Other proceedings

Medicine:

ratio-Omeprazole, -Ketorolac, -Brimonidine, -Paroxetine, -Cefuroxime,
-Lamotrigine, -Acyclovir, -Ramipril, -Sertraline, -Quetiapine,
-Fenofibrate FC and -Tamsulosin

Applicant:

ratiopharm Inc (now Teva Canada Ltd.)

Respondent:

Attorney General of Canada

Date Commenced:

July 29, 2011

Court File No.:

T-1252-11

Comment:

Application for judicial review of a decision of the Patented Medicine Prices Review Board where the Board determined that ratiopharm (now Teva Canada Ltd.) was a "patentee" in respect of certain products and therefore must report certain information to the Board. See case description under PMPRB news, above.

To check the status of Federal Court cases, please click here.

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Case-law briefs prepared by:

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Jordan D. Scopa

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