Law360, New York (June 28, 2012, 1:24 PM EDT) -- For a decade now, courts have been grappling with whether so-called “reverse payments” by pioneer pharmaceutical manufacturers to generic competitors in settlement of patent infringement litigation violate the antitrust laws, and with how the competitive effects of reverse-payment settlements should be analyzed. The year 2003 saw a spate of opinions on reverse-payment settlements by circuit courts, the Federal Trade Commission, and noted antitrust scholar Judge Richard Posner (sitting by designation in federal district court).
These opinions ranged from the Sixth Circuit’s per se invalidation of such settlements as payments to competitors in consideration for unlawful agreements not to compete, notwithstanding the...
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