Lupin’s patent spat with Abbott ends

To continue to market antibiotic drug Cefdinir

MUMBAI: Lupin has settled its patent litigation with Abbott Laboratories and Astellas Pharma over the antibiotic Cefdinir, in an out-of-the-court settlement.

“As per the settlement terms, the three parties have dismissed all the claims against each other. Lupin will continue to market the drug. This will save the litigation cost for the drug-makers,” said Lupin spokesperson. “On an average, litigation charges in US range between $1 and $2 million per product,” said an analyst. Lupin shares advanced 0.41% to Rs 691 on the Bombay Stock Exchange.

”The drug is essential for Lupin as it adds to their current portfolio of antibiotics (Cephalosporin),” said the analyst. Abbott’s first  setback was in March after a US court ruling that it cannot block another copycat, Sandoz. The patent for Cefdinir expired on May 6.

Though Lupin was first to receive approval from the US Food and Drug Administration, Abbott managed to stall it by filing a litigation against the Mumbai-based drug-maker in the federal court of Virginia.

Abbott argued that Lupin was using the crystalline form to make the drug, whose patent remains with Abbott till 2011. Lupin has received approval for 300 mg Cefdinir capsules.

The drug, which Abbott sells under brand name Omnicef, has sales of over $634 million. It is used to treat infections of the ears, lungs and skin.