Dealing With MedImmune

Law360 (March 13, 2007, 12:00 AM EDT) -- In MedImmune v. Genentech, 127 S. Ct. 764 (2007), the Supreme Court held that a patent licensee does not have to repudiate the license in order to file a declaratory judgment action challenging the validity of the underlying patent.

Many observers believe that this decision will fundamentally alter the negotiating positions of prospective licensors and licensees. Until MedImmune, a licensee could not make a validity challenge without first repudiating the license, refusing to pay royalties and infringing the patent.

The licensee would then face major risks...
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