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Federal Circuit affirms $107 million judgment in patent case based on expert’s testimony

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Kimberly Schenk testified at trial regarding the amount of reasonable royalty damages owed to drug development company Vectura Ltd. as a result of GlaxoSmithKline’s (GSK’s) infringement of Vectura’s US Patent No. 8,303,991. The ‘991 patent covers a drug formulation that uses magnesium stearate combined with an active ingredient to form composite active particles that improve the delivery of the active ingredient. In the District Court, Vectura alleged infringement by GSK’s Ellipta-brand inhalers: the Breo, Anoro, and Incruse devices.

At trial the jury adopted Ms. Schenk’s royalty opinion, reaching a verdict of $89.7 million. The District Court entered judgment against GSK for $107 million (including past damages, supplemental damages, and pre- and post-judgment interest), plus an ongoing royalty on US sales of GSK’s infringing products.

GSK appealed the judgment on several grounds, including the jury’s reliance on Ms. Schenk’s reasonable royalty opinion. On November 19, 2020, the Court of Appeals for the Federal Circuit affirmed the judgment, finding that Ms. Schenk had properly apportioned damages to reflect only the value of the ‘991 patent, and that the jury appropriately credited her opinions in reaching its verdict.

CRA was retained by Venable LLP on behalf of Vectura. Ms. Schenk’s team was led by Senior Associate Adam Moore.

To read the decision, visit this link.

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