CareDx Issues Statement in Patent Infringement Case
- None.
- CareDx was found to have infringed on Natera patent 11,111,544, resulting in significant damages. The company intends to seek judicial review of the verdict, potentially leading to prolonged legal proceedings and additional costs.
The jury's decision in the patent litigation between CareDx and Natera has significant legal and financial implications. The ruling of non-infringement on one patent and infringement on another suggests a complex legal landscape in the biotechnology patent space. The considerable damages awarded to Natera, including both lost profits and past royalties, can be a substantial financial burden for CareDx. However, the intention to seek judicial review indicates that the legal process is ongoing and the final financial impact may not be immediate.
From a legal standpoint, this case underscores the importance of intellectual property rights in the healthcare sector. The outcome of the judicial review could set a precedent for future patent disputes in the industry. It is also noteworthy that there is no current motion for injunctive relief, which means that CareDx can continue to offer its AlloSure and AlloMap tests without interruption for the time being, avoiding a potential disruption in patient care.
The jury verdict has direct financial consequences for CareDx, particularly due to the sizeable damages awarded. Investors and stakeholders should be aware that the $83.7 million in lost profits and $12.5 million in past royalties represent a significant expense that could affect CareDx's financials. This could potentially impact the company's stock price, operating income and future investment in research and development.
It's crucial to monitor how the market reacts to this news, as well as the outcome of the judicial review. The review process could result in a reduction or increase of the damages or even a reversal of the infringement finding. Stakeholders should consider the various scenarios and their implications on the company's fiscal health and strategic positioning within the competitive landscape of transplant diagnostics.
The patent litigation outcome between CareDx and Natera is an important event for competitors and customers within the transplant diagnostics market. The decision highlights the competitive nature of the market and the value placed on proprietary technology. For competitors, this serves as a reminder of the potential risks associated with patent infringement and the need for robust research and development to innovate within legal boundaries.
For customers, particularly physicians and patients, the assurance that there will be no impact on their access to AlloSure or AlloMap testing is crucial. The ability of CareDx to continue its operations without interruption may help maintain customer loyalty and trust. However, the long-term financial impact on CareDx could affect its market share and investment in future products, which in turn could influence the overall dynamics of the transplant diagnostics market.
CareDx Found to Have Not Infringed on Patent ‘180
CareDx Intends to Seek Judicial Review of Decision and Monetary Damages on Patent ‘544
No Impact to Patient or Physician Access to AlloSure or AlloMap Testing
CareDx was found to have not infringed on Natera patent 10,655,180 (the ‘180 patent) and found to have infringed on Natera patent 11,111,544 (the ‘544 patent). During pre-trial motions, the Court dismissed an additional patent asserted by Natera against CareDx. The District of
Today’s decision does not affect access and availability to CareDx’s current offerings, including AlloSure® or AlloMap®. There is no motion pending for injunctive relief.
CareDx will continue to improve transplant patient care by providing innovative solutions throughout the entire patient journey.
About CareDx – The Transplant Company
CareDx, Inc., headquartered in
Forward Looking Statements
This press release includes forward-looking statements related to CareDx, Inc., including statements regarding the jury verdict in the patent infringement case brought by Natera, the impact of the verdict on CareDx and CareDx’s plans to seek judicial review of the decision regarding the ‘544 patent and monetary damages. These forward-looking statements are based upon information that is currently available to CareDx and its current expectations, speak only as of the date hereof, and are subject to risks and uncertainties that could cause actual results to differ materially from those projected, including risks that the impact of the verdict differs from CareDx’s estimates; general economic and market factors; and other risks discussed in CareDx’s filings with the SEC, including the Annual Report on Form 10-K for the fiscal year ended December 31, 2022 filed by CareDx with the SEC on February 27, 2023, the quarterly report on Form 10-Q for the quarter ended March 31, 2023 filed by CareDx with the SEC on May 10, 2023, the quarterly report on Form 10-Q for the quarter ended June 30, 2023 filed by CareDx with the SEC on August 8, 2023, the quarterly report on Form 10-Q for the quarter ended September 30, 2023 filed by CareDx with the SEC on or about November 8, 2023, and other reports that CareDx has filed with the SEC. Any of these may cause CareDx’s actual results, performance, or achievements to differ materially and adversely from those anticipated or implied by CareDx’s forward-looking statements. CareDx expressly disclaims any obligation, except as required by law, or undertaking to update or revise any such forward-looking statements.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240126667014/en/
CareDx, Inc.
Media Relations
Anna Czene
818-731-2203
aczene@caredx.com
Investor Relations
Greg Chodaczek
investor@caredx.com
Source: CareDx, Inc.
FAQ
What is the ticker symbol for CareDx, Inc.?
What patent did CareDx infringe on?
What damages were awarded to Natera?
What will CareDx do following the verdict?
How will the verdict impact patient and physician access to CareDx's offerings?
