Archive for the ‘Organization/Business News’ Category

Collins On Human Genome Project – “We’ve Only Just Begun”

Friday, June 25th, 2010

In a Reuters story posted yesterday, Francis Collins, one of the directors of the Human Genome Project, was asked if the Project had lived up to the hype that accompanied the sequencing of the entire human genome ten years ago. Sensibly, he pointed to the value of simply having such an immense amount of data about the biocircuits that run our homeostasis (or disrupt it) to mine, and predicted the rise of personalized medicine in the next ten to twenty years.That may sound like a long time in the 21st century which has already brought us 3D TV, the iPhone and satellite radio. However, this year also marked the 30th anniversary of the Supreme Court’s decision in Diamond v. Chakrabarty, 447 U.S. 303 (1980), holding that man-made, or “genetically-engineered” microorganisms were patentable subject matter. (Chakrabarty got his patent in 1981, ironically directed to a bacterium modified to digest petroleum.) This decision founded the biotechnology industry, and led to the success of companies like Genentech, Biogen, and Genzyme. So those impatient with the pace of the development of customized biomarkers and  personalized medicine should take a deep breath and consider what the last thirty years have wrought.  Human growth hormone,  insulin, recombinant vaccines, recombinant enzymes, and cytokines that can treat truly horrible genetic diseases and, like it or not, corn, cotton, and soybeans that can resist pests or can tolerate relatively user-friendly pesticides. Dr. Collins’ guesstimate for the gestation period of the next plateau of progress in biomedicine may well prove to be prescient. That is, if the courts, and Congress and “public interest groups” don’t succeed in convincing society that the patent system needs to be reigned in before you have to get a license to breathe.

The fragility of the relatively thin framework of case law and regulations that permitted and fostered the growth of this new way of thinking about our physiological destinies was brought home the other day when a reporter wanted to talk to me about a Biogen patent (Fiers, U.S. Pat. No. 7588755). This patent surfaced like a WWII submarine, in 2009, from a series of applications first filed in 1980, the same year that Chakrabarty was decided. The patent claims a method of treating various conditions, including “cancers” by administering  to a patient a recombinant polypeptide [human fibroblast interferon] produced by a “non-human host” transformed with certain recombinant DNA sequences. Of course, it is now in litigation, since interferons can treat a wide variety of pathologies, including MS.

For an biotech patent attorney who began to practice in 1981, as did I, reading this patent would be like finding a mint 1966 Mustang in your grandfather’s garage, but the reporter did not want to talk about sequence listings, hybridization or pBR322. She wanted to talk about whether or not the claims were valid in view of all the attacks on “gene patents” she had been reading about.  I wanted to ask her to mentally step back to 1980 and imagine how exciting it must have been to be able to produce a human protein, or cytokine, in a bioreactor, without having to extract it from human tissues. But if she took that step back, she would probably find herself in pre-school, so I didn’t bother to try, and instead rambled on for a while about how claims to methods of medical treatment were found to meet the Bilski M or T test, and said good-by.

Is The “Golden Rule” Of Biological Drugs At Hand?

Tuesday, April 13th, 2010

I just finished speaking on IP issues involving biomarkers at a Q1 Conference in the Bay Area. Before the conference started, I spoke to the head patent counsel of a well-known bio/pharma company. He said, to my initial shock, that he thought new drugs based on small molecules were on the way out as commercial products. He was mostly focused on the difficulty he was having in getting claims allowed in the PTO, but his comments resonated with the comments of the first speaker, who pointed out, as did others, that it takes about 14.5 years from preclinical work to launch a new drug (small molecule or biological).

Now, taking that as a good estimate, and considering that a patent filed in the U.S on a drug at the beginning of the development period will have only about 5.5 years of life left when the product launches – less if it is filed in the pre-clinical stage – I jotted some quick notes from the speaker’s timeline. Patent term extension based on her figures for clinical trials and FDA approval delay would yield a patent term extension of only about 3.5-4.5 years. So the innovator only has about ten years to make a profit on its investment. The innovator will get five years of data exclusivity when the drug is approved, but the patent has more life than that, so the NCE exclusivity doesn’t add to the “product life cycle.” Also, the innovator can extend only one patent, so the generics have a clear target to zero in on via para. IV filings.

Of course, this is not the entire story, as the innovator can file add-on patents, including “label patents,” but these are both increasingly difficult to obtain post-KSR and easier to attack (e.g., via reexamination). Contrast this with the situation for a new biological drug, as set forth in the Obama Health Care Bill. No matter how long the development period, the innovator gets 12 years of data exclusivity from product approval/launch. Now there is no patent-based exclusivity for the generic company to attack or, I should say, attacking the patents won’t get the generic approved. So they are pretty much stuck in neutral. (See my recent post on the biologicals rules in the Health Care Bill.)

The FDA just announced an NIH-sponsored trial dubbed I-SPY 2 that will use genetic markers from patients’ tumors to identify which of five cancer drugs they will receive. The trial will evaluate the effectiveness of five investigational drugs from Abbott, Amgen, and Pfizer. Guess what? The names given in the post (fdanews.com) all end in “mab” or “nib.” So which business would you rather be in today, if drug discovery and development is your thing?

UNIVERSITY OF PITTSBURGH v. HEDRICK – ON A (CLEAR) CONCEPTION DAY

Monday, July 27th, 2009

From a prosecutor’s standpoint, the ‘231 patent (link at bottom of this post) has “dream claims” to a new class of stem cells. Claim 1 reads:

An isolated adipose-derived stem cell that can differentiate into two or more of the group consisting of a bone cell, a cartilage cell, a nerve cell, or a muscle cell.

Adipose is “fat”, and because there is so much of it around, and it is easy to obtain, it may nearly be an ideal source for “pluripotent stem cells.” During prosecution, the inventors had to convince the Examiner that these fat-derived stem cells were patentably distinct from mesenchymal stem cells (MSC). Other groups had derived these pluripotent MSCs from bone marrow, and they could be induced to form the same tissue types. Several companies are investigating the use of these cells to repair heart attack damage. For those two or three of you who have not been keeping up with stem cell technology and patent developments, I refer you to my article in JPTOS, vol. 83, 830 (2001).

An inventorship dispute arose between the two inventors who began the work that led to the ‘231 patent at the University of Pittsburgh, and a visiting scientist who worked at Pittsburgh and then returned to UCLA and worked with another scientist to further characterize the cells. Although Pittsburgh listed both their inventors and the two UCLA inventors on a provisional, a PCT and the application that issued as the ‘231 patent, Pittsburgh tried to remove the two UCLA inventors from the ‘231 patent shortly after it issued. Not surprisingly, the UCLA inventors resisted being removed. (Decision is App. No. 2008-1468, July 23, 2009, a link is provided at the bottom of this post.)

The Federal Circuit found sufficient evidence to hold that the two Pittsburgh inventors had conceived of the claimed invention prior to the involvement of the UCLA researchers. The fact that the UCLA researchers confirmed certain properties of the cells was not a contribution sufficient to make them co-inventors, and ultimately, the court held that, while the Pittsburgh inventors were not certain that the stem cells would behave as expected, nonetheless they had the “firm and definite idea that these properties existed in [the cells].” At this point, work by others that confirms your educated guess is simply part of reduction to practice.

As interesting as is the resolution of the inventorship dispute, the resolution of the claim construction issue occupies almost four pages of the decision, and helps expand the notion of “patent profanity” that I discussed in the earlier post about the Sandoz decision. Here, the UCLA scientists urged a more limited definition of “adipose-derived stem cell” that they believed would encompass their contributions: “a species of stem cell distinct from the mesenchymal stem cell (MSC) that is obtainable from bone marrow tissue.”

The Federal Circuit affirmed that the plain meaning of the claim term was simply “derived from fat tissue.” The court then examined the specification and prosecution history to determine if there were any contradictory definitions in the specification or a “unmistakable disavowal” of the plain meaning by applicants during prosecution. The court found that the proposed narrower definition would require that the cells be a “separate species” than MSCs and that the specification did not assert that this was the case (even though the fat-derived stem cells have different isolation requirements).

Notably, even though the applicants submitted evidence derived from work at UCLA to establish that the cells were patentably distinct from MSCs, and the Examiner relied on this submission, the court specifically held: “This is not a disavowal.” The court found only a “weak inference from the summary [by the Examiner] that adipose-derived stem cells in this invention must be a different species from mesenchymal stem cells and a clear and unmistakable disavowal as required to limit a claim term.” The court even delved into the science to support its holding, stating that there was a theory that MSCs could travel to fat tissue and be changed by the new environment they encountered. (Are all adult stem cells the same cell?)

If there is a take-away lesson here, it is that unmistakable disavowal of otherwise undisturbed plain meaning must be really unmistakable before it will be used to narrow claim scope. Here, the patentee was saved from the effects of “patent profanity” because they apparently did not urge during prosecution that the claimed cells were a “distinct species” of stem cell, as opposed to simply having some distinct properties. A close call, but in the end, the Pittsburgh inventors were “safe” and the UCLA inventors were out at the plate.

Patent 206777231
Univ of Pittsburgh v Hedrick

BIOTECH INDUSTRY IN MINNESOTA – STAYIN' ALIVE

Monday, July 27th, 2009

In its July 3rd issue, the Minneapolis St. Paul Business Journal published a list of the “Top 25 Biotech Companies.” It tells a pretty sad story. The top 25 companies together employ fewer than 3000 workers in Minnesota. The top four employ 85% of them, and two of them, Beckman Coulter Inc. and Syngenta Seeds, are branches of much larger companies. I am also not sure how the companies were selected for the list. Most of them either sell reagents or test kits to the biotech industry or provide diagnostic services. Others, like Cima Labs, SurModics, Innovative Surface Technologies, and Receptors partner with pharma and med device companies to develop drug delivery technologies based on coating and other surface modification technologies. None are exclusively involved in developing biological therapeutic agents for the treatment of human afflictions, with the possible exception of Bioenergy, Inc., that is working on medical applications of ribose. I have lived here for 25 years and no one has ever been able to explain to my satisfaction why Minnesota is a leader in the medical device industry (you should see their list, which starts with Medronic), but has never developed a biotech industry. I am not an economist, and I dont want to over-analyze, but re ipsa loquitor.