Sanofi-Aventis announced yesterday that it has settled lawsuits against Barr Pharmaceuticals and Teva Pharmaceutical Industries Ltd., both accused of infringing its patents in the United States with their generic versions of Allegra and Nasacort which are used for treating allergies.
Under the settlement, Sanofi-Aventis claims that Barr and Teva will each pay Sanofi-Aventis euro30 million in back royalties in exchange for licenses to sell generic versions of Allegra and have also agreed to pay royalties on future sales of Allegra and Nasacort in the United States. In exchange, Sanofi-Aventis will dismiss the lawsuits for patent infringement filed back in 2001.
Aparently the agreement requires approval from the Federal Trade Commission and the attorneys general in certain states.
Comment: Royalties of 30 million Euro for 7 years alleged inringement does not seem very much. One would imagine the legal bills clocked up would be higher. One wonders whether the Sanofi-Aventis had any sort of case, or were the patents voidable?
