A federal appeals court affirmed a lower court’s $22 million verdict against Cordis Corp., the stent-making arm of Johnson & Johnson (NYSE:JNJ), in a patent infringement case brought by Spectranetics Corp. (NSDQ:SPNC), but sent the case back for consideration of further damages.
The U.S. Court of Appeals for the Federal Circuit upheld a U.S. District Court for Minnesota verdict that awarded $22 million in damages to Spectranetics, after a jury found that Cordis infringed a patent covering a method for cutting stents. Although the jury found that Cordis willfully infringed the patent — opening up the possibility of a triple-damages award — the Minnesota court denied a Spectranetics bid for enhanced damages and legal fees.
The appeals court vacated that decision and sent the case back to the Twin Cities for the lower court to consider the enhanced damages issue using a legal precedent that the “paramount determination in deciding to grant enhancement and the amount thereof is the egregiousness of the defendant’s conduct based on all the facts and circumstances,” according to court documents.
“We take note of the district court’s remark that both sides did not exhibit immaculate trial behavior. However, in view of our remand for redetermination of enhancement of damages, reconsideration of the request for attorney fees is also warranted,” Judge Pauline Newman wrote.