Medtronic announces appeal decision in patent case with DePuy Spine

Jun 1 2009

Medtronic, Inc. has announced results from a Federal Circuit Court review of a December 2007 patent infringement verdict regarding the Vertex line of multiaxial screws, which are no longer on the market.

The Appeals Court upheld the verdict of patent infringement, but reversed a substantial portion of the damages award to DePuy Spine. The Appeals Court also reversed a sanctions determination against Medtronic, finding that it was legally incorrect and could not be sustained. The Appeals Court affirmed an award of $149.1 million in lost profits, but eliminated another $77.2 million in damages to DePuy Spine, along with another approximate $10.5 million in sanctions and attorneys' fees.

"We are pleased that the judgment will be reduced by a very substantial amount as a result of this appeal, and that the right to a vigorous trial defense was upheld," said Steve La Neve, president of the Spinal and Biologics business and senior vice president at Medtronic. "It is important to note that this case has no bearing on our current Vertex Select and OC Systems."

The case will now be remanded to the trial court for calculation of the reduced judgment, which will include amounts both for post-judgment and prejudgment interest on the damages.