BMS and cancer centre settle patent exploitation clash

Feud concerned the ownership of six immunotherapy patents | Cancer centre claimed that it was unfairly deprived of royalties.

Four years after Boston-based  Dana-Farber Cancer Institute accused  Bristol Myers Squibb (BMS) and  Ono Pharmaceutical of cutting the cancer centre out of patent ownership, the parties have agreed to settle the dispute.

Back in June 2019, Dana-Farber  alleged BMS and Ono had tried to mislead Dana-Farber’s potential licensees into believing they were the exclusive patent owners of six immunotherapy patents.

Earlier that year, the US District Court for the District of Massachusetts held that Gordon Freeman, a Dana-Farber scientist, was a joint inventor of the patents, and Dana-Farber was a co-owner.

“They have been able to sue their competitors for patent infringement and negotiate lucrative licensing deals with them, unjustly enriching themselves through their receipt of more than $1.6 billion in licensing revenue,” alleged the claim.

In its suit, Dana-Farber was seeking a share of the licensing revenue, claiming that BMS’ and Ono’s actions had “unfairly deprived” the cancer centre of the opportunity to grant royalty-bearing licences and “robbed” the centre of the licensing revenue.

On April 6, the parties filed a joint stipulation to dismiss the suit.

A  press release from Dana-Farber noted that as part of the settlement, BMS and Ono will make a lump-sum payment to Dana-Farber, with the possibility of additional payments in the future.

“All other terms of the agreement are confidential. This resolution paves the way for our continued focus on pioneering discoveries that have enabled cancer immunotherapies and advances our shared goal to provide extraordinary care for our patients,” said the release.