Saturday, February 27, 2016

AVX Claims they are entitled to $37.5M from Greatbatch Ltd. in Patent Fight



AVX has filed papers with a Delaware court to abandon $37.5 million worth of patent infringement damages award to maker of medical implants Greatbatch Ltd. Greatbatch claims that AVX’s products were unfairly priced thus forcing Greatbatch to lower their prices. On January 26, eight jurors ruled that AVX infringed on Greatbatch’s patents, and the award was $37.5 million, $27 million which was for damages that Greatbatch could have made if it didn’t have to unfairly cut its prices. A writer for the street claims that, “the complaint, filed in April 2013, alleged that AVX had infringed Greatbatch patents by manufacturing and selling filtered feedthrough assemblies used in implantable pacemakers and cardioverter defibrillators that incorporate its patented technology.”

            U.S. District Judge Leonard Stark received a letter from AVX in February claiming that Greatbatch sold infringed products at a price that is said to be two to three times higher than it said it had sold the products. Greatbatch says that AVX was the sole cause of the lower prices, when AVX says that they could have sold their products at the same price that Greatbatch sold their products at. The main part of the claim of infringement comes with Greatbatch claiming that AVX’s production and sale of alternative components for medical devices, including pacemakers. AVX says that Greatbatch’s claims are late and faulty, and that it was Greatbatch’s choice to sell the products at the lower price.

Judge Stark refused to give Greatbatch damages on the products covered by Boston Scientific. He stands firm in his position that Greatbatch’s settlement money could be taken back if AVX shows that Greatbach’s lack of discosure interfered with the outcome of the case against AVX.

The specific patents they infringed on are U.S. Patent Number 5,333,095, which restricts the sale of a filter capacitor assembly that is used in the pacemaker. The U.S. Patent Number 5,905,627 is for an internally grounded ceramic feed-through filter capacitor assembly that protects pacemakers from signals that could interfere from cellular phones.





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