Duramed Pharmaceuticals, Inc. v. Watson Laboratories, Inc. , 413 F. App'x 289 ( 2011 )


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  •        NOTE: This disposition is nonprecedential.
    United States Court of Appeals
    for the Federal Circuit
    __________________________
    DURAMED PHARMACEUTICALS, INC.,
    Plaintiff-Appellee,
    v.
    WATSON LABORATORIES, INC.,
    Defendant-Appellant.
    __________________________
    2010-1331
    __________________________
    Appeal from the United States District Court for the
    District of Nevada in Case No. 08-CV-0116, Judge Larry
    R. Hicks.
    ____________________________
    Decided: March 25, 2011
    ____________________________
    ALEXANDER F. MACKINNON, Kirkland & Ellis LLP, of
    Los Angeles, California, argued for plaintiff-appellee.
    With him on the brief was ROBERT G. KRUPKA. Of counsel
    on the brief were CHARANJIT BRAHMA, COREY J. MANLEY
    and J. JOHN LEE, of Washington, DC.
    MARK T. JANSEN, Kilpatrick Townsend and Stockton
    LLP, of San Francisco, California, argued for defendant-
    appellant. With him on the brief were NANCY L.
    DURAMED PHARMA   v. WATSON LABS                          2
    TOMPKINS; KENNETH E. JENKINS, of San Diego, Califor-
    nia; CEDRIC C.Y. TAN and KRISTIN M. COOKLIN, of Wash-
    ington, DC.
    __________________________
    Before LOURIE, LINN, and DYK, Circuit Judges.
    LOURIE, Circuit Judge.
    Watson Laboratories, Inc. (“Watson”) appeals from
    the decision of the United States District Court for the
    District of Nevada, holding on summary judgment that
    the asserted claims of U.S. Patent 7,320,969 (“the ’969
    patent”) were not invalid for obviousness. Duramed
    Pharms., Inc. v. Watson Labs., Inc., 
    701 F. Supp. 2d 1163
    ,
    1167-71 (D. Nev. 2010). Watson also appeals the district
    court’s exclusion of its expert’s testimony on prior use of
    the claimed invention. 
    Id. at 1166-67
    . Because the
    district court erred in its determination of nonobvious-
    ness, but did not abuse its discretion in excluding certain
    expert testimony, we reverse in part, affirm in part, and
    remand.
    BACKGROUND
    Duramed Pharmaceuticals, Inc. (“Duramed”) owns the
    ’969 patent, which covers an extended-cycle combined oral
    contraceptive (“COC”) regimen commercialized by
    Duramed as Seasonique®. Unlike traditional 28-day COC
    regimens, in which estrogen- and progestin-containing
    pills are administered for 21 days and hormone-free pills
    for 7 days, extended-cycle regimens increase the men-
    strual cycle’s natural length by administering hormone-
    containing pills for greater than 21 days. Extended-cycle
    regimens thus postpone estrogen-withdrawal symptoms
    experienced by many women during the hormone-free
    period. The incidence of estrogen-withdrawal symptoms
    can also be reduced by administering low dosages of
    3                          DURAMED PHARMA    v. WATSON LABS
    estrogen during the traditional hormone-free period.
    Duramed’s Seasonique® combines an extended-cycle COC
    regimen with the administration of low-dose, unopposed
    estrogen during the hormone-free period. Specifically, the
    regimen consists of 84 daily pills containing 30 μg of the
    estrogen ethinyl estradiol and 150 μg of the progestin
    levonorgestrel, followed by 7 daily pills containing 10 μg
    of ethinyl estradiol only.
    On March 6, 2008, Duramed brought suit against
    Watson under 
    35 U.S.C. § 271
    (e)(2) after Watson filed an
    Abbreviated New Drug Application (“ANDA”) seeking
    Food and Drug Administration (“FDA”) approval for a
    generic version of Seasonique®. Duramed alleged in-
    fringement of claims 1-9, 15, and 17-19 of the ’969 patent.
    Claim 19 is representative:
    19. A method of contraception in a female in need
    thereof the method comprising administering to
    the female a dosage comprising a combination of
    estrogen and progestin for a period of 84 consecu-
    tive days, followed by administration of a dosage
    consisting essentially of estrogen for a period of 7
    consecutive days,
    wherein the estrogen that is administered
    in combination with progestin for the
    period of 84 consecutive days is orally
    administered monophasicly in a daily
    amount of about 30 μg of ethinyl estra-
    diol,
    the estrogen that is administered for the
    period of 7 consecutive days is orally
    administered monophasicly in a daily
    amount of about 10 μg of ethinyl estra-
    diol, and
    the progestin that is administered in com-
    bination with estrogen for the period
    DURAMED PHARMA   v. WATSON LABS                           4
    of 84 consecutive days is orally admin-
    istered monophasicly in a daily
    amount      of   about     150 μg    of
    levonorgestrel.
    ’969 patent claim 19. The ’969 patent issued on January
    22, 2008, and claims priority back to an application filed
    on December 5, 2001.
    Watson stipulated to infringement but challenged the
    ’969 patent’s validity under 
    35 U.S.C. § 103
    . In making
    its obviousness challenge, Watson relied on, inter alia, (1)
    a 1994 Kovacs article, which describes an extended-cycle
    COC regimen of 84 daily pills containing 30 μg ethinyl
    estradiol and 150 μg levonorgestrel, followed by 7 daily
    hormone-free pills; (2) U.S. Patent 6,027,749 (“the ’749
    patent”), which discloses COC regimens of up to 77 daily
    pills containing 15-20 μg ethinyl estradiol and 50-125 μg
    levonorgestrel, followed by 7 daily pills containing 10-15
    μg ethinyl estradiol to reduce the incidence of premen-
    strual headaches; and (3) two Sulak articles from 1997
    and 2000, which describe the problem of headaches re-
    sulting from estrogen withdrawal as well as the use of
    low-dose, estrogen-only pills during the hormone-free
    period as a way to alleviate such headaches.
    Watson’s expert witness, Dr. Michael A. Thomas,
    opined on the teachings of these prior art references. He
    also opined that one of skill in the art would have been
    motivated to combine the Kovacs COC regimen with the 7
    days of unopposed estrogen as claimed in the ’969 patent
    because the Kovacs article recognized that the regimen
    may result in headaches in some women. J.A. 824-25. In
    addition, Dr. Thomas testified that he had personally
    prescribed the contraceptive regimen claimed in the ’969
    patent prior to the patent’s priority date, December 5,
    2001. The district court granted Duramed’s motion to
    5                          DURAMED PHARMA    v. WATSON LABS
    exclude Thomas’s testimony regarding this prior use as
    uncorroborated. Duramed, 
    701 F. Supp. 2d at 1166-67
    .
    The district court also granted summary judgment of
    nonobviousness. The court analyzed Watson’s “three most
    significant” prior art references, the Kovacs article, the
    Sulak article, 1 and the ’749 patent, finding the remaining
    art “cumulative.” 
    Id.
     at 1168 n.3. Regarding the Kovacs
    article, the court found that it did not provide support for
    combining 84 daily hormone pills with 7 days of unop-
    posed estrogen to alleviate estrogen-withdrawal symp-
    toms because it describes headaches throughout the
    menstrual cycle and fails to make any mention of using
    unopposed estrogen. 
    Id. at 1168-69
    . Regarding the Sulak
    articles, the court found that, although they identify
    headaches as a symptom of hormone withdrawal, they
    mention the addition of unopposed estrogen only as a
    theoretical, untested solution. 
    Id. at 1169-70
    . Regarding
    the ’749 patent, the court found that by disclosing a
    variety of COC regimens, the patent did not establish
    consistent knowledge in the community, and that it
    provided no basis for adding estrogen-only pills to the end
    of a COC regimen to alleviate withdrawal headaches. 
    Id. at 1170
    . Finally, the court found that Watson’s expert,
    Thomas, was not a person of ordinary skill in the art, but
    rather an active participant in research in the field of
    endocrinology. 
    Id.
    Watson appealed. We have jurisdiction pursuant to
    
    28 U.S.C. § 1295
    (a)(1).
    1   The district court cites the 1997 Sulak article, but
    it appears to have relied on a combination of the 1997 and
    2000 Sulak articles. Accordingly, we refer to these arti-
    cles together as the Sulak articles.
    DURAMED PHARMA   v. WATSON LABS                           6
    DISCUSSION
    This court reviews a district court’s decision on sum-
    mary judgment de novo, reapplying the same standard
    applied by the district court. Iovate Health Scis., Inc. v.
    Bio-Engineered Supplements & Nutrition, Inc., 
    586 F.3d 1376
    , 1380 (Fed. Cir. 2009). Summary judgment is ap-
    propriate only “if the movant shows that there is no
    genuine dispute as to any material fact and the movant is
    entitled to judgment as a matter of law.” Fed. R. Civ. P.
    56(a). In deciding a motion for summary judgment, “[t]he
    evidence of the non-movant is to be believed, and all
    justifiable inferences are to be drawn in his favor.”
    Anderson v. Liberty Lobby, Inc., 
    477 U.S. 242
    , 255 (1986).
    “[A] moving party seeking to have a patent held not
    invalid at summary judgment must show that the non-
    moving party, who bears the burden of proof at trial,
    failed to produce clear and convincing evidence on an
    essential element of a defense upon which a reasonable
    jury could invalidate the patent.” Eli Lilly & Co. v. Barr
    Labs., Inc., 
    251 F.3d 955
    , 962 (Fed. Cir. 2001). To defeat
    summary judgment, the nonmoving party must then come
    forward with evidence sufficient to establish a genuine
    issue of material fact regarding that essential element.
    Freedman Seating Co. v. Am. Seating Co., 
    420 F.3d 1350
    ,
    1363 (Fed. Cir. 2005).
    I. Obviousness
    Under the Patent Act, “[a] patent may not be ob-
    tained . . . if the differences between the subject matter
    sought to be patented and the prior art are such that the
    subject matter as a whole would have been obvious at the
    time the invention was made to a person having ordinary
    skill in the art to which said subject matter pertains.”
    
    35 U.S.C. § 103
    (a). Although the ultimate determination
    of obviousness under § 103 is a question of law, it is based
    7                          DURAMED PHARMA    v. WATSON LABS
    on several underlying factual findings, including (1) the
    scope and content of the prior art; (2) the level of ordinary
    skill in the pertinent art; (3) the differences between the
    claimed invention and the prior art; and (4) evidence of
    secondary factors, such as commercial success, long-felt
    need, and the failure of others. Graham v. John Deere
    Co., 
    383 U.S. 1
    , 17-18 (1966).
    An invention “composed of several elements is not
    proved obvious merely by demonstrating that each of its
    elements was, independently, known in the prior art.”
    KSR Int’l Co. v. Teleflex Inc., 
    550 U.S. 398
    , 418 (2007).
    Rather, “it can be important to identify a reason that
    would have prompted a person of ordinary skill in the
    relevant field to combine the elements in the way the
    claimed new invention does,” 
    id.,
     although such a reason
    need not be explicitly stated in the prior art, see 
    id. at 419
    . Furthermore, when there exists a finite number of
    identified, predictable solutions to a known problem, a
    combination that results in “anticipated success” is likely
    the product not of innovation, but of ordinary skill and
    common sense. 
    Id. at 421
    .
    Watson argues that it raised genuine issues of mate-
    rial fact regarding whether it would have been obvious to
    combine the Kovacs COC regimen with the administra-
    tion of low-dose estrogen during the traditional hormone-
    free period to treat estrogen-withdrawal headaches in
    light of, inter alia, the Sulak articles and the ’749 patent.
    Watson claims that the court, in granting summary
    judgment of nonobviousness, erred by, inter alia, (1)
    focusing on individual references instead of considering
    the teaching of the prior art as a whole; (2) improperly
    requiring clear and convincing evidence of invalidity on
    summary judgment; (3) ignoring all but three prior art
    references, including the 2000 Sulak article, as cumula-
    tive; (4) erroneously requiring that the prior art teach a
    DURAMED PHARMA    v. WATSON LABS                           8
    virtual guarantee, rather than a reasonable expectation,
    of success; and (5) failing to make a finding of the level of
    skill in the art.
    Duramed responds that the district court correctly
    granted summary judgment of nonobviousness because
    Watson failed to present any evidence of a reason to
    combine Kovacs with 7 days of low-dose, unopposed
    estrogen to reduce the incidence of estrogen-withdrawal
    headache during the traditional hormone-free period.
    According to Duramed, by disclosing that headaches
    occurred throughout the menstrual cycle, the Kovacs
    article fails to suggest that the Kovacs regimen caused
    the headaches because of estrogen withdrawal. Rather,
    Duramed continues, the art taught that extended-cycle
    regimens were a cure for—not a cause of—such head-
    aches, including the 2000 Sulak article, which discusses
    extended-cycle regimens and unopposed estrogen as
    alternative solutions to the problem of withdrawal head-
    aches in traditional 28-day COC regimens. Regarding the
    ’749 patent, Duramed claims that it also does not provide
    a motivation to modify Kovacs with unopposed estrogen
    because it does not associate estrogen-withdrawal head-
    aches with any particular extended-cycle regime, let alone
    the extended-cycle Kovacs regimen. Finally, Duramed
    dismisses Watson’s expert testimony as conclusory and
    thus insufficient to raise a genuine issue of fact.
    Duramed also disagrees that the district court made
    any of the errors alleged by Watson. Rather, according to
    Duramed, the district court (1) correctly held Watson to
    the clear and convincing evidentiary standard on sum-
    mary judgment; (2) implicitly made a finding on the level
    of skill in the art in Watson’s favor; (3) correctly analyzed
    only three prior art references, rejecting the rest as cumu-
    lative; and (4) properly required Watson to show, not
    absolute certainty, but a reasonable expectation that
    9                           DURAMED PHARMA    v. WATSON LABS
    combining Kovacs with unopposed estrogen would succeed
    in reducing the incidence of estrogen-withdrawal head-
    aches.
    We agree with Watson that the district court erred in
    its obviousness analysis and, as a result, incorrectly
    granted summary judgment of nonobviousness. Specifi-
    cally, the district court erred in assessing the content and
    scope of the prior art, leading it to incorrectly analyze
    each prior art reference in isolation without considering
    the prior arts’ teaching as a whole in light of the creativity
    and common sense of a person of ordinary skill. The court
    also appears to have applied an incorrect evidentiary
    standard on summary judgment. Finally, the court failed
    to make any finding on the level of skill in the art. We
    address each in turn.
    A. Content and Scope of the Prior Art
    The district court erred in several of its findings on
    the disclosure of the Sulak articles and the ’749 patent,
    which then infected the court’s summary judgment deci-
    sion. Regarding Sulak, the court rejected all considera-
    tion of the articles’ teaching of the use of unopposed
    estrogen because that use was mentioned only as a “theo-
    retical,” rather than a tested, solution to estrogen-
    withdrawal headaches. Duramed, 
    701 F. Supp. 2d at 1169
    . A reference, however, is prior art for all that it
    discloses, and there is no requirement that a teaching in
    the prior art be scientifically tested, see PharmaStem
    Therapeutics, Inc. v. ViaCell, Inc., 
    491 F.3d 1342
    , 1363-64
    (Fed. Cir. 2007), or even guarantee success, see Alza Corp.
    v. Mylan Labs., Inc., 
    464 F.3d 1286
    , 1295 (Fed. Cir. 2006),
    before providing a reason to combine. Rather, it is suffi-
    cient that one of ordinary skill in the art would perceive
    from the prior art a reasonable likelihood of success. 
    Id.
    DURAMED PHARMA    v. WATSON LABS                          10
    Regarding the ’749 patent, the district court first
    found that the patent “provides no reference or basis to a
    practitioner on the effects of adding unopposed estrogen
    to the end of an extended regimen in regards to hormone
    withdrawal headaches.” Duramed, 
    701 F. Supp. 2d at 1170
    . The ’749 patent, however, expressly teaches the
    administration of 7 days of 10 μg ethinyl estradiol during
    the traditional hormone-free period following a variety of
    extended-cycle COC regimens. ’749 patent col.9 ll.48-52.
    Moreover, it teaches that the administration of unopposed
    estrogen is to reduce the “incidence of side effects, such as
    headaches within the framework of premenstrual syn-
    drome.” 
    Id.
     The district court also found that the ’749
    patent discloses a variety of COC regimens and thus
    concluded that the patent “does not teach any one specific
    combination that would establish consistent knowledge in
    the community.” Duramed, 
    701 F. Supp. 2d at 1170
    .
    However, the question is not whether there existed a
    consistent COC regimen in the art, but rather whether
    one of ordinary skill in the art would have been motivated
    to combine the Kovacs regimen with 7 days of low-dose,
    unopposed estrogen with the reasonable expectation that
    the addition of low-dose estrogen would successfully
    reduce the incidence of estrogen-withdrawal headaches
    during the hormone-free period.
    Based on its errors in assessing the content of these
    prior art references, the district court improperly ana-
    lyzed and rejected the teaching of each in isolation, con-
    cluding that each alone failed to establish by clear and
    convincing evidence a motivation to combine. Specifically,
    while recognizing that the Sulak articles identify head-
    aches as a symptom of hormone withdrawal, the court
    ignored the articles’ suggestion of unopposed estrogen as
    a possible solution, concluding instead that, because it
    remained an untested solution, “the Sulak article does not
    11                         DURAMED PHARMA    v. WATSON LABS
    show by clear and convincing evidence that a person of
    ordinary skill would have added unopposed estrogen to
    the traditional hormone-free interval to alleviate the
    hormone withdrawal symptoms that arise during that
    period.” 
    Id. at 1169-70
    . The district court next, as de-
    scribed above, rejected the disclosure of the ’749 patent in
    its entirety, and thus failed to address its teaching of the
    use of unopposed estrogen to treat headaches following
    various extended-cycle COC regimens in light of the
    teaching of a specific extended-cycle COC regimen in
    Kovacs. 
    Id. at 1170
    . Finally, the district court analyzed
    the Kovacs article without reference to the ’749 patent or
    the Sulak articles, concluding that because the article
    taught that women on the regimen reported headaches
    “scattered throughout the [menstrual] cycle,” and itself
    did not mention the use of unopposed estrogen, “the
    [Kovacs] article does not provide clear and convincing
    support” that a practitioner would treat headaches asso-
    ciated with the regimen by adding unopposed estrogen.
    
    Id. at 1169
    . Accordingly, the district court failed to prop-
    erly consider the collective teaching of the prior art in
    light of the common sense and creativity of the person of
    ordinary skill in the art. See KSR, 
    550 U.S. at 419-21
    .
    The district court also appears to have applied an in-
    correct evidentiary standard on summary judgment,
    incorrectly placing the burden of proof on the nonmoving
    party, Watson, to show clear and convincing evidence of
    invalidity as a matter of law. In this case, Duramed
    moved for summary judgment of nonobviousness, and
    thus the burden rested with Duramed to show that Wat-
    son had failed to come forth with clear and convincing
    evidence of an essential element of its prima facie case of
    obviousness. See Eli Lilly, 
    251 F.3d at 962
    . Although the
    ultimate evidentiary burden of showing clear and convinc-
    ing evidence does not change on summary judgment,
    DURAMED PHARMA    v. WATSON LABS                          12
    Watson could defeat summary judgment by showing a
    genuine issue of material fact, which, if believed by the
    finder of fact, could provide clear and convincing evidence
    of a motivation to combine the prior art references. See
    Freedman Seating, 
    420 F.3d at 1364
    ; see also Monarch
    Knitting Mach. Corp. v. Sulzer Morat GmbH, 
    139 F.3d 877
    , 881 (Fed. Cir. 1998) (“If facts remain in dispute, this
    court weighs the materiality of the dispute, i.e., whether
    resolution of the dispute one way or the other makes a
    difference to the final determination of obviousness.”).
    That is the standard the district court should have made
    clear it was applying on summary judgment.
    B. Level of Skill in the Art
    A determination of obviousness requires a factual
    finding of the level of ordinary skill in the pertinent art,
    
    35 U.S.C. § 103
    (a); Graham, 
    383 U.S. at 17
    , which the
    district court failed to make in this case. When a finding
    of the level of skill affects the court’s ultimate conclusion
    under § 103, the failure to make such a finding consti-
    tutes reversible error. See Kloster Speedsteel AB v. Cruci-
    ble Inc., 
    793 F.2d 1565
    , 1574 (Fed. Cir. 1986), overruled
    on other grounds by Knoff-Bremse Systeme v. Dana Corp.,
    
    383 F.3d 1337
     (Fed. Cir. 2004). The district court granted
    summary judgment of nonobviousness based on an un-
    specified level of skill, but a finding of a higher level of
    skill could have altered this ruling because, in general, an
    invention may be more obvious to one of higher skill than
    it might have been to one of lower skill. See Union Car-
    bide Corp. v. Am. Can Co., 
    724 F.2d 1567
    , 1573 (Fed. Cir.
    1984).
    Watson argues that the level of skill was high, requir-
    ing a medical degree and several years of experience in
    the field of reproductive endocrinology. Duramed argued
    below that even a nurse practitioner can be a person of
    13                         DURAMED PHARMA    v. WATSON LABS
    ordinary skill but suggests on appeal that the district
    court implicitly sided with Watson. There is no evidence
    for Duramed’s contention. Rather, the district court
    appears to have simply rejected all of Watson’s expert’s
    testimony by finding that Thomas was not a person of
    ordinary skill, but extraordinary skill. 2 See Duramed,
    
    701 F. Supp. 2d at 1170
    . That was error. Since a deter-
    mination of obviousness is made from the vantage point of
    a legal construct, a hypothetical person having ordinary
    skill in the pertinent art, In re Rouffet, 
    149 F.3d 1350
    ,
    1357 (Fed. Cir. 1998), a person of extraordinary skill may
    opine on the knowledge of this hypothetical person, see
    Moore v. Wesbar Corp., 
    701 F.2d 1247
    , 1253 (7th Cir.
    1983) (holding that an expert of “more than the ‘ordinary
    skill’ required by the statute” was “well suited to assist
    the court in deciding what would be obvious to such a
    person”). Accordingly, Thomas’s credentials as a tenured
    professor who actively participates in endocrinology
    research do not disqualify him from opining on what an
    ordinary person of lesser skill, whether a medical doctor
    with less research experience or a nurse practitioner,
    would have understood from the prior art.
    Finally, contrary to Duramed’s claim, Thomas’s expert
    testimony was not merely conclusory. He connected each
    claim limitation with disclosures in the prior art, and his
    opinion on a motivation to combine rests on factual sup-
    port in the record. J.A. 823-26, 836-38; cf. Perfect Web
    Techs., Inc. v. InfoUSA, Inc., 
    587 F.3d 1324
    , 1331 (Fed.
    Cir. 2009) (holding expert testimony insufficient to raise a
    genuine issue of fact when it relied on irrelevant prior art
    2  The district court limited its discussion to the tes-
    timony of Thomas’s prior use of the claimed extended-
    cycle COC regimen. Accordingly, it is unclear from the
    opinion whether or not the court credited other aspects of
    Thomas’s testimony.
    DURAMED PHARMA   v. WATSON LABS                        14
    and failed entirely to address one claim limitation).
    Accordingly, this testimony should not have been disre-
    garded on summary judgment. See KSR, 
    550 U.S. at 427
    (“In considering summary judgment on th[e] question [of
    obviousness] the district court can and should take into
    account expert testimony, which may resolve or keep open
    certain questions of fact.”).
    In light of the errors made by the district court, we
    reverse the district court’s grant of summary judgment of
    nonobviousness and remand. We note, however, that in
    reviewing the record de novo on summary judgment and
    crediting Duramed’s lower level of skill in the art, the
    district court on remand may well conclude that the
    claimed extended-cycle COC regimen would have been
    obvious as a matter of law.
    Kovacs teaches the claimed administration of 84 daily
    pills containing 150 μg levonorgestrel and 30 μg ethinyl
    estradiol. The ’749 patent teaches the claimed admini-
    stration of 10 μg ethinyl estradiol for 7 days during the
    traditional hormone-free period. Moreover, this admini-
    stration follows a variety of extended-cycle COC regimens
    to treat estrogen-withdrawal headaches, which the 2000
    Sulak article confirms for traditional 28-day COC regi-
    mens are “more common during the hormone-free inter-
    vals compared with the active-pill weeks.” J.A. 1240-41.
    The 1997 Sulak article also teaches that women on ex-
    tended-cycle COC regimens experience headaches during
    the hormone-free period. 3 J.A. 1225. And Watson’s
    3    Watson stated at oral argument that the 1997 Su-
    lak article tested the Kovacs regimen. Oral Arg. at 5:00-
    5:30. The article does list Kovacs in Table 1 as one prior
    art regimen, but it does not state that the women in its
    study were on the Kovacs regimen. Moreover, many of
    the women in the study did not stabilize on a regimen of
    15                         DURAMED PHARMA    v. WATSON LABS
    expert opined that one of skill in the art would have been
    motivated to combine the Kovacs COC regimen with the 7
    days of unopposed estrogen taught by the ’749 patent and
    the Sulak articles to arrive at the claimed invention
    because the Kovacs article recognized that the regimen
    resulted in headaches in some women, J.A. 824-25, al-
    though “scattered throughout the [menstrual] cycle,” J.A.
    229.
    Thus, on the record before us, there appear to be no
    genuine issues of material fact that, based on the teaching
    of Kovacs, the ’749 patent, and the Sulak articles, one of
    ordinary skill would have been motivated to combine the
    Kovacs regimen and 7 days of 10 μg unopposed ethinyl
    estradiol with a reasonable expectation that the combina-
    tion would reduce the incidence of headaches associated
    with that regimen. Yet, Watson did not move for sum-
    mary judgment of obviousness and stated at oral argu-
    ment that it was “absolutely not” requesting that this
    court hold the asserted claims obvious as a matter of law.
    Oral Arg. at 1:12-1:43. In light of this procedural posture,
    Duramed did not have an opportunity to challenge Wat-
    son’s prima facie case of obviousness or introduce any
    secondary considerations of nonobviousness. Accordingly,
    we leave that determination to the district court on re-
    mand.
    II. Exclusion of Testimony
    A decision to exclude evidence raises an issue not
    unique to patent law, and thus we apply the law of the
    regional circuit in which the district court sits, in this
    case, the Ninth Circuit. Juicy Whip, Inc. v. Orange Bang,
    Inc., 
    382 F.3d 1367
    , 1370 (Fed. Cir. 2004). A district
    court’s decision to exclude evidence is reviewed for abuse
    84 days of hormone-containing pills as claimed in the ’969
    patent. J.A. 1225
    DURAMED PHARMA   v. WATSON LABS                          16
    of discretion. United States v. Pang, 
    362 F.3d 1187
    , 1194
    (9th Cir. 2004).
    The district court excluded Thomas’s testimony re-
    garding his prior use of the claimed invention as uncor-
    roborated in light of the “general rule” that “corroboration
    of oral testimony regarding prior invention or use is
    required before the evidence is admissible.” Duramed,
    
    701 F. Supp. 2d at
    1166-67 (citing Texas Digital Sys., Inc.
    v. Telegenix, Inc., 
    308 F.3d 1193
    , 1217 (Fed. Cir. 2002),
    and Woodland Trust v. Flowertree Nursery, Inc., 
    148 F.3d 1368
    , 1371 (Fed. Cir. 1998)). Watson does not argue that
    the testimony on prior use was in fact corroborated, but
    rather argues that because Thomas’s testimony was not
    the sole evidence of obviousness, it should not have been
    excluded. Watson claims that although uncorroborated
    oral testimony alone is insufficient to meet the clear and
    convincing standard for invalidity, it may contribute to
    the clear and convincing evidence standard when not the
    sole evidence of invalidity.
    Yet, Watson acknowledged that it was not relying on
    this testimony to support either its opposition to summary
    judgment or its prima facie case of obviousness. Oral Arg.
    at 22:25-23:35. We therefore decline to decide to what
    degree such evidence may or may not contribute to a
    determination of obviousness by clear and convincing
    evidence, concluding instead that Watson failed to meet
    its “particularly high hurdle” to demonstrate that the
    district court abused its discretion in excluding testimony
    on prior use. Texas Digital, 
    308 F.3d at 1218
    .
    17                        DURAMED PHARMA   v. WATSON LABS
    CONCLUSION
    For the foregoing reasons, we reverse the district
    court’s grant of summary judgment of nonobviousness,
    affirm the court’s exclusion of Watson’s expert testimony
    on prior use, and remand for further proceedings consis-
    tent with this opinion.
    REVERSED IN PART, AFFIRMED IN PART, and
    REMANDED
    COSTS
    Costs to Watson.
    

Document Info

Docket Number: 2010-1331

Citation Numbers: 413 F. App'x 289

Judges: Dyk, Linn, Lourie

Filed Date: 3/25/2011

Precedential Status: Non-Precedential

Modified Date: 8/3/2023

Authorities (20)

Dennis G. Moore, George R. Moore and Sierra Products, Inc., ... , 701 F.2d 1247 ( 1983 )

United States v. Fred S. Pang , 362 F.3d 1187 ( 2004 )

Pharmasterm Therapeutics, Inc. v. Viacell, Inc. , 491 F.3d 1342 ( 2007 )

Juicy Whip, Inc. v. Orange Bang, Inc., Unique Beverage ... , 382 F.3d 1367 ( 2004 )

Texas Digital Systems, Inc. v. Telegenix, Inc. , 308 F.3d 1193 ( 2002 )

Woodland Trust v. Flowertree Nursery, Inc. And Ivy J. ... , 148 F.3d 1368 ( 1998 )

In Re Denis Rouffet, Yannick Tanguy and Frederic Berthault , 149 F.3d 1350 ( 1998 )

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eli-lilly-and-company-plaintiff-cross-v-barr-laboratories-inc-and , 251 F.3d 955 ( 2001 )

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Iovate Health Sciences, Inc. v. Bio-Engineered Supplements &... , 586 F.3d 1376 ( 2009 )

Alza Corporation v. Mylan Laboratories , 464 F.3d 1286 ( 2006 )

kloster-speedsteel-ab-speedsteel-of-new-jersey-inc-stora-kopparbergs , 793 F.2d 1565 ( 1986 )

monarch-knitting-machinery-corp-declaratory-judgment , 139 F.3d 877 ( 1998 )

Duramed Pharmaceuticals v. Watson Laboratories , 701 F. Supp. 2d 1163 ( 2010 )

Freedman Seating Co. v. American Seating Co. , 420 F.3d 1350 ( 2005 )

Perfect Web Technologies, Inc. v. InfoUSA, Inc. , 587 F.3d 1324 ( 2009 )

Graham v. John Deere Co. of Kansas City , 86 S. Ct. 684 ( 1966 )

Anderson v. Liberty Lobby, Inc. , 106 S. Ct. 2505 ( 1986 )

KSR International Co. v. Teleflex Inc. , 127 S. Ct. 1727 ( 2007 )

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