Supreme Court to Decide on Patent Reviews’ Role in False Claims Act Lawsuits

Valeant Pharmaceuticals is headed to the U.S. Supreme Court, championing a significant argument about the intersection of patent law and whistleblower litigation. The focus of the contention is whether or not information presented during Patent Trial and Appeal Board (PTAB) reviews should be used later in False Claim Act lawsuits instigated by whistleblowers.

The False Claims Act (FCA), which allows individuals to sue on behalf of the government for fraudulent claims and share in recoveries, has been a critical tool in maintaining accountability, especially in sectors such as healthcare and defense contracts.

At the other end of the discussion sits the PTAB, an administrative law body of the US Patent and Trademark office which reviews the validity of existing patents. Its review processes possibly unearth information that could be tagged as a whistleblowing case under FCA, leading to potential lawsuits.

Valeant Pharmaceuticals’ move to the Supreme Court implies the gravity of the situation and its impact on establishments involved in patent filings and reviews, as well as those processing potential FCA lawsuits. The court’s decision could recalibrate the way these establishments perform their roles and set a precedent for future cases.

For a detailed discussion of the matter, further information is available in the report on Law360.