A federal judge in Texas upheld a $4.8 million verdict from Texas jury in a patent infringement lawsuit filed by Covidien plc (NYSE:COV) against Applied Medical Resources Corp. but denied Covidien’s bid for a permanent injunction against future sales of the infringing products.
A jury in the U.S. District Court for Eastern Texas sided with Covidien March 22, awarding damages of $4.8 million in a dispute over Norwalk, Conn.-based AMR’s Kii and Universal Seal laparoscopic trocars. Covidien, which filed the suit under the name of its corporate predecessor Tyco Healthcare Group, alleged that the devices infringed five of its patents. The jury agreed that AMR’s products infringed one of those patents, “Valve System For Cannula Assembly,” and AMR admitted to infringing another patent, for “Valve System For Introducing Objects Into Anatomical Body Portions.” Covidien decided to drop the remaining three patents from the trial, according to spokesman David Young.
AMR fought back in April, asking Judge Keith Giblin to rule that Covidien didn’t supply enough evidence to support the jury’s verdict. For its part, Covidien asked Giblin for a permanent injunction “barring Applied from making, using, offering to sell, or selling in the United States, or importing into the United States” any products the jury found to infringe its patent. Covidien also asked the judge to award pre- and post-judgment interest on the $4.8 million verdict.
In a May 17 decision, Giblin shot down AMR’s move to set the jury verdict aside, but also ruled against Covidien’s permanent injunction bid. Giblin decided for Covidien on the question of interest, assessed at the prime interest rate, compounded quarterly, from Feb. 3, 2004, “through the date judgment is entered,” according to court documents.