Native American Tribe Can't Be a 'Sovereign' Shield During Patent Review, Says Court (arstechnica.com)
Cyrus Farivar writes via Ars Technica: In a unanimous decision, an appellate court has resoundingly rejected the legal claim that sovereign immunity, as argued by a Native American tribe, can act as a shield for a patent review process. On July 20, the United States Court of Appeals for the Federal Circuit found in a 3-0 decision that the inter partes review (IPR) process (a process that allows anyone to challenge a patent's validity at the United States Patent and Trademark Office) is closer to an "agency enforcement action" -- like a complaint brought by the FTC or the FCC -- than a regular lawsuit.
This case really began in September 2015. That was when Allergan, a pharma company, sued rival Mylan, claiming that Mylan's generics infringed on Allergan's dry eye treatment known as Restasis. Saint Regis Mohawk Tribe was initially filed in the Eastern District of Texas, known as a judicial region that is particularly friendly to entities that are often dubbed patent trolls. By 2016, Mylan initiated the IPR. But Allergan, in an attempt to stave it off, struck a strange deal, transferring ownership of the six Restasis-related patents to the Saint Regis Mohawk Tribe, based in Upstate New York, near the Canadian border. As part of that deal, Allergan paid $13.75 million to the tribe, with a promise of $15 million in annual payments -- if the patents were upheld, that is. The Mohawk Tribe attempted to end the IPR, citing sovereign immunity, which was denied. The tribe struck at least one other similar deal with a firm known as SRC Labs, which sued Amazon and Microsoft.
This case really began in September 2015. That was when Allergan, a pharma company, sued rival Mylan, claiming that Mylan's generics infringed on Allergan's dry eye treatment known as Restasis. Saint Regis Mohawk Tribe was initially filed in the Eastern District of Texas, known as a judicial region that is particularly friendly to entities that are often dubbed patent trolls. By 2016, Mylan initiated the IPR. But Allergan, in an attempt to stave it off, struck a strange deal, transferring ownership of the six Restasis-related patents to the Saint Regis Mohawk Tribe, based in Upstate New York, near the Canadian border. As part of that deal, Allergan paid $13.75 million to the tribe, with a promise of $15 million in annual payments -- if the patents were upheld, that is. The Mohawk Tribe attempted to end the IPR, citing sovereign immunity, which was denied. The tribe struck at least one other similar deal with a firm known as SRC Labs, which sued Amazon and Microsoft.
Your (you're, yaw) laws, courts and country are all daft.
If you're interested in the relation between native american tribes and misuse of sovereign immunity, I can recommend The Whistler by John Grisham, a nice read. https://en.wikipedia.org/wiki/...
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OK, and what is a 'shield' in this sense?
> Saint Regis Mohawk Tribe was initially filed in the Eastern District of Texas
What the hell is that supposed to mean?
The summary is about as clear as mud, and the underlying story seems to be deliberate obfuscation
this is truly stuff that matters! Or at least stuff that might matter to a law student or something.
Native American tribes are exempt from many laws. List of 511 "indian" gaming operations https://www.500nations.com/Indian_Casinos_List.asp
... which is ripping off rival pharmaceutical companies? Somehow that does not seem like a traditional lifestyle.
I am all for autonomous, but this seems more like a tax haven than autonomy to me.
the elders can tell us what happens next.. the tribe remains semi-innocent,, a few misguided (aka the escalade effect) is the tally.. good sports with good spirits prevail..
While I'm against tribes abusing their sovereignty to shield scammers and now patent trolls apparently, I'm also rooting for anyone who takes on Mylan. That's the company which charges 400x the cost of producing the EpiPen that's been in production for decades and prevents anyone from creating a generic alternative due to their strictly enforced patent.
BeauHD writing an incomprehensible summary again?
Slashdot has gone past actual dupe stories and is now running metadupes!
Yeah, at least it wasn't a BeauHD "Russia! Russia! Russia!" metadupe.
"It's been revoked!" blam blam
the drug companies were trying to find a way to be exempt from law
And this surprises you somehow? Sounds like business as usual to me.
I find it appalling the length companies will go to undermine the rule of law.
It should be appalling. Yet we have an entire major political party which spends considerable energy towards eliminating regulations that prohibit companies from doing just that.
The US culture of profit at any cost and loss of morality is disheartening.
US culture is hardly alone in an over enthusiasm for profits and damn the consequences. And not everyone in the US is on board with profit at any cost. Just enough people to make it a real problem. That said, a profit motive is a useful thing, provided it is adequately constrained with rules to keep things reasonably fair and in the public interest. It's only a problem when we start pretending that free markets and profit motives will actually solve the problems caused by failed free markets and unchecked profit motives.
"God bless America"
was invented by false and unknown prophet.
"America must bless Jesus, son of God and Mary"
is invented by me.
Impeach. Rosenstean. Now.
FORCED OUT - Brave and mighty ...
STOLEN LAND - They can't fight it
HOLD ON - To pride and tradition
Even though they know how much their lives are really missin'
WE'RE DISSIN' THEM
On reservations
A hopeless situation
Natives* are targeted for abuse nationwide. Well, in the parts of the nation our government didn't genocide them the fuck out of, anyway. I may be a little bit biased because I've actually known natives, worked with them, hung out with them... biased towards treating them as humans, that is. And our government doesn't do that. It gives them a paltry amount of money, but it doesn't make up for anything. It's basically a payment to justify past, present, and future abuse.
* OK, no such thing really... Remember the Clovis People, or something. But it's the generally accepted term. I don't give a shit who was where first, but about how people are treated.
"You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
I think it's pretty obvious what really happened here: The original patent holders were openly suckered by the tribes. Let's look briefly at the events preceding this point in the story:
Allergan had some patents which they were using in Eastern Texas to assert some potentially highly lucrative claims. The winds turned, patent protections were weakened nationwide, and it became clear that their patents were about to be invalidated. They paid millions to a tribe to "shelter" those patents behind their sovereign immunity privileges. Also note that this wasn't an isolated incident: other patent holders followed a similar pattern, with other tribes.
So, what were the tribes responsibilities, in these business deals? Well... for all practical purposes, their responsibilities were little more than paying a lawyer, which was easily affordable after their new windfall. Other than that, they could simply sit back, buy a few expensive bottles of wine to celebrate, and start dreaming up cool ways to spend the rest of their cash. Sounds like it was an amazing deal from their point of view, even if the patents had been invalidated immediately.
Personally, I think the tribes knew exactly what they were doing; they had no expectations of their windfall remaining in play, long-term. In theory, perhaps they could "lose" a privilege supposedly associated with their sovereign immunity -- which is apparently what we're reading about now -- but they clearly weren't taking advantage of that privilege, anyway. And the risk of entirely losing sovereign immunity was practically nonexistent, since that would involve an act of Congress. So basically, they had everything to gain and nothing to lose.
In short: Allergan (and others) got suckered out of millions... because, in attempting to protect their own snake oil, they ended up falling for someone elses snake oil. (Somehow, I just can't find it in me to feel sorry for them.)
Or rather: The transfer ought to automatically invalidate the patents. You can have all the patents covering the jurisdiction of your own little piece of reservation land, but the US does not allow other countries or sovereign entities to grant themselves patent rights over American persons on American soil.
the same white privileged bastards that raped this land, and killed its people.
Yes, the various bands were promised, by treaty (the highest law in the land as I understand it) and by later court verdicts, that they would be sovereign on their own land. But this has always been an empty promise. Any time it turned out they were sitting on land that turned out to be valuable, it just got taken away. Despite being sovereign nations in their own right, their young men were (and still are) subject to the draft. Despite being sovereign, federal law enforcement agencies have had a piss poor track record of respecting that and engaging in proper cooperation with any reservation police. In short, America (and Canada) have only allowed the native peoples a limited form of autonomy NOT sovereignty and always ignored even that when convenient.
With that kind of track record in place, I don't see how the St Regis Mohawk ever thought it might work. Mind you, that first 13.75 million was certainly welcome.
There's another angle by which this would have failed as well. Lets suppose, for the sake of argument, that the sovereign claims were upheld (ignoring the fact that questions of sovereignty are only properly address by Congress, not a lower Federal court). You would end up with a situation analogous to one company using a patent granted in the US while another company is paying for the license rights to a very similar US patent owned by the government of Canada so they can market a competing drug in the US. And if I read the summary right, it is on this basis that the judge ruled that a patent review can proceed. Regardless of who owns the patents, they are still patents issued by the US government for products being sold in the US.
Cynically of me, I don't think anybody involved expected this tactic to really work. They just thought it would long enough to make some money for them.
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I still miss the clarity that Pam brought to the Law intersecting technology.
I learned enough from Groklaw to understand the outline of what this case means, but the fine points....
I have a solution.
First, we seal all the lawyers in an airtight room.
-- Tigger warning: This post may contain tiggers! --
I have Native American friends so I've frequented reservations. They're like southern trailer parks but without the pizaz. We didn't just stick them on reservations, we stuck the reservations on the crummiest land in the country. When you're that dirt poor you're too busy trying to survive to worry about others. It's a classic technique of any ruling class: keep everyone on the verge of disaster so they won't band together to help each other out.
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Truth are also LIES
Weakness is POWER
War is PEACE
Freedom is SLAVERY
Ignorance is STRENGTH
I couldn't agree more, comrade.
Learn to read AND think, jackhole. You posters don't even try any more.
SJBE said "Do just that". Do you know how language pointers work? "Do just that" = "undermine the rule of law" that SJBE was responding to. Now I'm not the troll you responded to, I'm a troll-hunting troll, and what you did, dumbass, was fall for circular logic. OP Troll didn't attempt to refute SJBE, he twisted it around as a good thing and then tried to flip who's the victim and agressor.
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