Appeals Court Revives Regeneron Pharmaceuticals’ Lawsuit Against Novartis

A United States appeals court on Monday, March 18, 2024, revived the antitrust lawsuit filed against Novartis by Regeneron Pharmaceuticals. The lawsuit was related to a prescription treatment against a condition that could lead to eye disorders, including permanent blindness.

The 2nd U.S. Circuit Court of Appeals in Manhattan ruled that the judge of the lower court erred in dismissing the allegations leveled on Novartis by applying improper legal standards to Regeneron’s claims.

Regeneron Pharmaceuticals and Novartis react to the appeal courts’ ruling

The lawsuit bordered on a conflict between Eylea eye drug by Regeneron and rival drug Lucentis by Novartis. Back in 2020, New York-based Regeneron dragged Switzerland-based Novartis to court claiming Novartis plotted with Vetter Pharma (who is also a co-defendant in the lawsuit) to delay the release of its eye medication.

In a statement, Regeneron said it was “encouraged by the 2nd Circuit’s decision” and was looking forward to “further advancing our position in future proceedings”. Prior to the 2020 lawsuit, Novartis had sued Regeneron for patent infringement over the disputed eye treatment which fights the overproduction of a protein that may lead to eye disorders. Regeneron also said that Novartis is “unlawfully asserting an invalid and unenforceable patent”.

Reacting to the ruling of the appeals court, Novartis said it was “disappointed with the court’s ruling, and we continue to believe Regeneron’s claims lack merit”.

The origin of the problem between Regeneron and Novartis

Court records showed that Regeneron Pharmaceuticals and Vetter entered a collaboration back in 2005 to produce a prefilled syringe version of Eylea which was previously packaged in vials. However, in 2009, Vetter entered a similar collaboration with Novartis, according to Regeneron’s lawsuit, to produce a prefilled syringe version of Lucentis. Furthermore, Novartis and Vetter plotted to restrict Regeneron from competing. 

In 2022, a federal judge sitting in New York ruled that Regeneron had not established beyond doubt that Novartis violated the antitrust policy. However, after reviewing the case on Monday, the appeals court said Regeneron Pharmaceuticals has a case and it should proceed.