ARTICLE | Company News

Biogen, Berlex settle patent dispute

January 24, 2002 8:00 AM UTC

The companies settled their patent litigation in which Berlex (Montville, N.J.) alleged that BGEN's Avonex interferon beta-1a drug for multiple sclerosis infringed Berlex's McCormick patents covering the production of beta interferon in Chinese hamster ovary (CHO) cells. As settled, BGEN will pay Berlex $20 million in exchange for a non-exclusive, non-royalty bearing license to the patents.

In 2000, the U.S. District Court for the District of Massachusetts issued a summary judgement that Avonex did not infringe the McCormick patents. Berlex appealed the decision, and if the appeal goes in Berlex's favor, BGEN said it could be required to pay a second, and final, fee to Berlex of $55 or $230 million. BGEN did say the possibility of the $230 million fee was "remote." ...