Alphatec Spine, DePuy Spine, Biedermann Motech settle on patent litigation
DePuy Spine Inc. and Biedermann Motech GmbH have agreed to settle a patent infringement lawsuit with Alphatec Spine for $11 million and royalties on future sales of Zodiac and Solanas screw products, according to a press release from DePuy Spine, a Johnson & Johnson company.
In the lawsuit, DePuy Spine and Biedermann Motech accused Alphatec of infringing U.S. Patent No. 5,207,678 (the "678 Patent") with the sale of its Zodiac and Solanas screw products.
As part of the settlement, DePuy Spine and Biedermann Motech granted Alphatec a license under the '678 Patent to continue making, using and selling the Zodiac and Solanas screws. Terms of the agreements include a one-time payment of $11 million for past sales of the Alphatec products and an ongoing royalty payable upon future net sales of licensed products.
"This is an important result for DePuy Spine and Biedermann Motech," said Gary Fischetti, president of DePuy Spine, in the press release. "This settlement ties to our overall strategy to defend our patent portfolio and realize value for our intellectual property rights. We will continue to enforce our patents and protect our intellectual property rights to enhance our ability to pioneer innovative solutions for spinal disorders."
In an Alphatec press release, Dirk Kuyper, Alphatec's president and CEO, added, "We are pleased with the resolution of this longstanding legal matter, as it ensures that Alphatec has the continued ability to manufacture, market and sell our Zodiac and Solanas products, and it accelerates our ability to bring to market our OsseoScrew, which is our pedicle screw technology designed for osteoporotic and osteopenic bone.
"We are pleased to have entered into a license with Depuy and Biedermann and now, other than DePuy, we have the only license for a top-loading pedicle screw system that utilizes the Biedermann 678 patent," he said in the press release. "We can now move forward aggressively to capitalize on our broad platform of spinal solutions targeted at the aging population, which will include solutions for osteoporosis, vertebral compression fractures, stenosis and other spinal deformities."