ResMed and Fisher & Paykel settle patent disputes

American medical device maker  ResMed and New Zealand-based competitor  Fisher & Paykel have agreed to settle a global patent dispute over medical devices.

In a  joint statement, released Wednesday, February 20, the rivals agreed to end all ongoing infringement cases across the world.

Neither ResMed nor Fisher & Paykel will pay the other or admit liability, so each party will bear its own attorneys’ fees and costs incurred.

The rivals have brought claims in numerous countries, including the UK, US and Australia.

Back in September 2016, the US International Trade Commission (ITC)  announced it would institute an investigation based on a complaint filed by ResMed against its rival.

ResMed’s complaint alleged that Fisher & Paykel’s importation into the US and sale of the sleep-disordered breathing treatment mask systems infringed some of ResMed’s patents.

ResMed then  dismissed its complaint but filed another in August 2018 at the ITC, alleging that Fisher & Paykel were infringing five patents relating to “mask system and cushion design”.

At the same time, ResMed filed a complaint at the US District Court for the Southern District of California, seeking monetary damages for the alleged infringement and an injunction.

Fisher & Paykel hit back with its own  complaint, in which it claimed that ResMed’s AirFit P10 masks, which are used to treat obstructive sleep apnoea, infringed five of Fisher & Paykel’s patents.

In early September, Fisher & Paykel also cut its fiscal 2019 net profit outlook in light of the expected legal costs to contest the patent allegations.

Then, in October last year, the ITC  announced that it would launch an investigation into the New Zealand-based company. One week later, the ITC  confirmed that it would also investigate ResMed.

Later the same month, ResMed  emerged victorious before the Munich District Court in Germany, which found that sleep masks produced by Fisher & Paykel infringed a European patent owned by ResMed.

In a separate  statement, issued today, Fisher & Paykel said the settlement will not impact its latest profit guidance.

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