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By Matthew Berkowitz and J. Ryan Yates
December 23, 2008

Reverse Payments Do Not Violate Antitrust Laws

In In re Ciproflaxin Hydrochloride Antitrust Litigation, 2008-1097 (Fed. Cir. Oct. 15, 2008), the Federal Circuit affirmed the U.S. District Court for the Eastern District of New York's grant of summary judgment that agreements settling a patent infringement lawsuit that provide for reverse payments from the patent holder to a generic drug manufacturer did not violate the antitrust laws when the generic drug manufacturer relinquished the 180-day marketing exclusivity granted to the first Paragraph IV abbreviated new drug application (“ANDA”) filer.

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