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Liquidia Provides Update on Hatch-Waxman Litigation Tied to ‘327 Patent

The remedy remains undecided, with potential restrictions ranging from removal of the PH-ILD indication to broader limits on YUTREPIA availability.

(Neutral)

Sentiment and the balance of points

Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.

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Liquidia (LQDA) received a District Court ruling that two asserted patent claims are valid and infringed by its YUTREPIA inhalation powder.

The Delaware court found claims 1 and 14 of U.S. Patent No. 11,826,327 valid and infringed; the remaining asserted claims were invalid. The parties must submit proposed judgments and remedies within one week. Liquidia plans to pursue appellate options and submit an FDA application supplement removing pulmonary hypertension associated with interstitial lung disease (PH-ILD) from YUTREPIA’s label. The remedy remains uncertain, potentially ranging from removal of that indication to broader restrictions on product availability. Potential outcomes and financial exposure cannot currently be reasonably estimated.

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1 point · 0 major

How this balance works

Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.

It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.

Rhea-AI Sentiment measures something else, the tone of the wording.

0 major · 3 points

Hollow bars mark forward-looking points. How the balance works

Positive

  • Minor pointRemaining asserted patent claims were found invalid, limiting the claims upheld against Liquidia.

Negative

  • Moderate pointClaims 1 and 14 were ruled valid and infringed by Liquidia’s YUTREPIA.
  • Moderate point. Forward-looking: it has not happened yet and may not happen.Potential remedies range from removing the PH-ILD indication to broader restrictions on YUTREPIA availability.
  • Moderate point. Forward-looking: it has not happened yet and may not happen.Planned FDA application supplement would remove PH-ILD from YUTREPIA’s label.

Key Figures

Claims found valid and infringed: 2 of 6 claims Judgment submission deadline: Within one week
Claims found valid and infringed
2 of 6 claims
District Court ruling on asserted ‘327 patent claims
Judgment submission deadline
Within one week
Parties directed to submit a form of judgment specifying proposed remedies

Historical Context

1 past event · Latest: Aug 12
1 event
  1. Aug 12

    Q2 earnings

    24h Move
    -10.6%

    Reported $170.4 million in YUTREPIA net product sales during second quarter 2026.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

hatch-waxman act, new drug application, interstitial lung disease, injunctive relief
4 terms
hatch-waxman act regulatory
"under the Hatch-Waxman Act concerning U.S. Patent No."
A U.S. law that created a faster approval route for generic drugs while allowing original drug makers limited extensions of their patent protection, balancing quicker competition with incentives to innovate. Think of it as a system that shortens the time for a copycat product to get regulatory clearance while preserving a temporary “fence” around the original maker’s market; this timing directly affects when sales and profits shift and is a key factor for investors valuing drug companies and forecasting revenue risks.
new drug application regulatory
"submit a supplement to YUTREPIA’s New Drug Application to the FDA"
A new drug application is a formal request submitted to government regulators seeking approval to market a new medicine. It is like a detailed proposal that shows the drug has been tested for safety and effectiveness. For investors, receiving approval signals that the drug may soon become available for sale, potentially leading to revenue growth and impacting the company's value.
interstitial lung disease medical
"treatment of pulmonary hypertension with interstitial lung disease"
A group of lung conditions that cause inflammation and scarring of the thin tissue between the air sacs, which makes it harder for oxygen to pass into the blood; imagine the lungs’ fine filters becoming stiff and less effective. Investors care because reports of interstitial lung disease can affect a drug’s safety profile, trigger regulatory warnings or label changes, and shift demand for treatments or create liability risks that influence a company’s valuation.
injunctive relief regulatory
"UTHR has asked the Court for injunctive relief"
A court-ordered instruction requiring a person or company to do or stop doing a specific action to prevent harm or preserve a situation. For investors, injunctive relief can immediately alter a business’s operations, block sales or product use, or preserve assets—like a referee pausing play to prevent unfair advantage—so it can swiftly affect revenue, legal exposure and share value while longer legal battles continue.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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  • District Court ruled that two of the six claims asserted against Liquidia are valid and infringed
  • Parties directed to submit form of judgment, specifying the proposed remedy, for the District Court’s consideration within one week

MORRISVILLE, N.C., Sept. 30, 2026 (GLOBE NEWSWIRE) -- Liquidia Corporation (NASDAQ: LQDA), a biopharmaceutical company driven by science and compassion to revolutionize care for patients with challenging respiratory and vascular diseases, today issued an update regarding the litigation filed by United Therapeutics Corporation (UTHR) in the U.S. District Court for the District of Delaware (the Court) under the Hatch-Waxman Act concerning U.S. Patent No. 11,826,327 (‘327 patent) and the Company’s lead product, YUTREPIA® (treprostinil) inhalation powder.

Today, the Court ruled that claims 1 and 14 of the ‘327 patent, which generally cover the treatment of pulmonary hypertension with interstitial lung disease (PH-ILD) patients with inhaled treprostinil, including dry powder formulations of inhaled treprostinil, are valid and infringed by Liquidia. The remaining claims of the ‘327 patent that were asserted against Liquidia were found to be invalid. The parties have been directed to submit to the Court a form of judgment, which will specify the parties’ proposed remedies for infringing such claims, within one week.

Roger Jeffs, Chief Executive Officer of Liquidia, said: “We respectfully disagree with the Court’s decision regarding claims 1 and 14 and are fully prepared to pursue all available appellate options. As previously communicated to the Court, we intend to submit a supplement to YUTREPIA’s New Drug Application to the FDA to remove PH-ILD from the label. Our commitment to patients remains unwavering.”

Given the number of variables, including potential appeals and further proceedings, it is not possible at this time to reasonably estimate the range of potential outcomes or financial exposure. While the exact remedy to be awarded by the District Court remains uncertain, potential remedies could range from the removal of the indication to treat pulmonary hypertension associated with interstitial lung disease (PH-ILD) from YUTREPIA’s label to a broader restriction on product availability. In post-trial briefs, UTHR has asked the Court for injunctive relief that would restrict YUTREPIA’s availability on the market.

About YUTREPIA® (treprostinil) Inhalation Powder
YUTREPIA is an inhaled dry-powder formulation of treprostinil delivered through a convenient, low-effort, palm-sized device. YUTREPIA was approved in 2025 for the treatment of pulmonary arterial hypertension (PAH) and pulmonary hypertension associated with interstitial lung disease (PH-ILD) to improve exercise ability. YUTREPIA was designed using Liquidia’s PRINT® technology, which enables the development of drug particles that are precise and uniform in size, shape and composition, and that are engineered for enhanced deposition in the lung following oral inhalation. YUTREPIA was previously referred to as LIQ861 in investigational studies.

About Liquidia Corporation
Liquidia Corporation is a biopharmaceutical company driven by science and compassion to revolutionize care for patients with challenging respiratory and vascular diseases through precise, innovative therapies and applications of its proprietary PRINT® technology. PRINT enabled the development of YUTREPIA® (treprostinil) inhalation powder for the treatment of pulmonary arterial hypertension (PAH)[ and pulmonary hypertension associated with interstitial lung disease (PH-ILD)]. The company is also developing L606, an investigational extended-release formulation of treprostinil administered twice-daily with a next-generation nebulizer, and currently markets generic Treprostinil Injection for the treatment of PAH. To learn more about Liquidia, please visit www.liquidia.com.

Cautionary Statements Regarding Forward-Looking Statements
This press release may include forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release other than statements of historical facts, including statements regarding our future results of operations and financial position, our strategic and financial initiatives, our business strategy and plans and our objectives for future operations, are forward-looking statements.

Forward-looking statements, including statements regarding clinical trials, clinical studies and other clinical work (including the funding therefor, anticipated patient enrollment, safety data, study data, trial outcomes, timing or associated costs), regulatory applications and related submission contents and timelines, the timelines or outcomes related to our patent and trade secret litigation with United Therapeutics, including rehearings or appeals of decisions in any such proceedings, the issuance of patents by the USPTO and our ability to execute on our strategic or financial initiatives, our estimates regarding future expenses, capital requirements and needs for additional financing, and potential revenue and profitability of YUTREPIA involve significant risks and uncertainties and actual results could differ materially from those expressed or implied herein. The decisions of courts or other tribunals are not determinative of the outcome of the appeals or rehearings of the decisions. Our ability to maintain YUTREPIA’s approval and to continue commercialization of YUTREPIA remain subject to ongoing litigation in which United Therapeutics is seeking injunctive relief, which could block our ability to continue to sell YUTREPIA for one or both of PAH and PH-ILD. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “would,” and similar expressions are intended to identify forward-looking statements. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy, short-term and long-term business operations and objectives and financial needs. These forward-looking statements are subject to a number of risks discussed in our filings with the SEC, as well as a number of uncertainties and assumptions. Moreover, we operate in a very competitive and rapidly changing environment and our industry has inherent risks. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the future events discussed in this press release may not occur and actual results could differ materially and adversely from those anticipated or implied in the forward-looking statements. Nothing in this press release should be regarded as a representation by any person that these goals will be achieved, and we undertake no duty to update our goals or to update or alter any forward-looking statements, whether as a result of new information, future events or otherwise.

Contact Information
Investors:
Jason Adair
Chief Business Officer
919.328.4350
jason.adair@liquidia.com

Media:
media@liquidia.com


FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What did the court decide in Liquidia’s ’327 patent litigation?

The Delaware District Court found claims 1 and 14 valid and infringed by Liquidia, while finding the remaining asserted claims invalid. The upheld claims generally cover treating patients with pulmonary hypertension associated with interstitial lung disease using inhaled treprostinil, including dry powder formulations.

What could the Liquidia patent ruling mean for YUTREPIA availability?

The remedy remains uncertain and could range from removal of the PH-ILD indication from YUTREPIA’s label to broader restrictions on product availability. The parties must submit proposed judgments specifying remedies within one week. Potential outcomes and financial exposure cannot currently be reasonably estimated.

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