02-1598
BAYER AG and BAYER CORPORATION,
Plaintiffs-Appellees,
v.
HOUSEY PHARMACEUTICALS, INC.,
Defendant-Appellant.
Jeffrey B. Bove, Connolly
Bove Lodge & Hutz LLP, of Wilmington, Delaware, argued for
plaintiffs-appellees. With him on the
brief were Rudolf E. Hutz, Mary W. Bourke and Thomas F. Poché.
Joseph A. Grear, Stanheim
& Grear, Ltd., of Chicago, Illinois, argued for defendant-appellant. With him on the brief were Rolf O.
Stadheim, Gregory M. Jordan, and George C. Summerfield. Of counsel were M. Duncan Grant and Joseph
Naylor, Pepper Hamilton LLP, of Wilmington, Delaware.
Morgan Chu, Irell &
Manella LLP, of Los Angeles, California, for amici curiae Affymetrix, Inc., et
al. With him on the brief were Laura
W. Brill, Lisa Partain, and
Jason
G. Sheasby.
Appealed
from: United States District Court
for the District of Delaware
Chief
Judge Sue L. Robinson
United States
Court of Appeals for the Federal Circuit
02-1598
Plaintiffs-Appellees,
v.
HOUSEY PHARMACEUTICALS, INC.,
Defendant-Appellant.
___________________________
DECIDED: August 22, 2003
___________________________
Before
MAYER, Chief Judge, DYK and PROST, Circuit Judges.
DYK, Circuit Judge.
Housey Pharmaceuticals, Inc.
(“Housey”) appeals from the judgement of the United States District Court for
the District of Deleware dismissing its counterclaim for infringement of United
States Patent Nos. 4,980,281, 5,266,464, 5,688,655, and 5,877,007 for failure
to state a claim. Because we conclude
that infringement under 35 U.S.C. § 271(g) is limited to physical goods that
were manufactured and does not include information generated by a patented
process, and because the physical goods here (drug products) were not
“manufactured” by a process claimed in the asserted patents, we affirm the
dismissal of Housey’s infringement claims.
BACKGROUND
Housey is the assignee of U.S.
Patents Nos. 4,980,281, 5,266,464, 5,688,655, and 5,877,007 (collectively “the
Housey patents”), all entitled “Method of Screening for Protein Inhibitors and
Activators.”[1] The patents are directed to “a method of
screening for substances which specifically inhibit or activate a particular protein
affecting the cultural or morphological characteristics of the cell expressing
the protein.” U.S. Pat. No. 5,877,007
col. 1, ll. 18-21. The expression of the
“particular protein” (referred to as the “protein of interest”) results in a
change in one or more identifiable characteristics of the cells expressing
it. According to the disclosed and
claimed method, a cell line is produced that is characterized by a higher
production of the protein of interest relative to an original cell line. By applying substances (“agents”) to both
cell lines, it is possible to determine whether the agent is an activator or
inhibitor of protein activity.[2] Thus, for example, if a link between a
protein and a disease is discovered, the disclosed method provides a process
for identifying the effect that different agents have on the activity of the
suspect protein.
On March 6, 2001, Bayer AG and
Bayer Corporation (“Bayer”) filed a complaint seeking declaratory judgment of
invalidity, unenforceability, and non-infringement of the Housey patents. On March 27, 2001, Housey filed an answer to
the complaint and asserted a counterclaim for infringement of the Housey
patents. The counterclaim alleged that
Bayer “directly infringed claims of each of the patents-in-suit” and
“contributed to infringement or induced others to infringe the
patents-in-suit.” (Answer to Complaint
and Counterclaim at 4). Additionally,
Housey alleged that Bayer “infringed the method claims of the patents in suit
pursuant to 35 U.S.C. Sec. 271(g).”
Id. at 5. The factual
basis of Housey’s infringement claim as stated in the counterclaim was that:
Pursuant to 35
U.S.C. §295, this Court may presume that a product was made [by Housey’s]
patented methods where there is a substantial likelihood that it was so made by
and [Housey] has made reasonable efforts to determine the process actually
used. Here, there is substantial
likelihood that [Housey’s] methods were used by Bayer to make the
characterization of a pharmacologically active agent. Further, [Housey] has requested the
defendants to identify the methods used in its facilities, but the [sic] Bayer
has failed to do so. [Housey] has made
the required reasonable efforts.
Id. at 4-5.
On April 16, 2001, Bayer filed a
motion to dismiss under Rule 12(b)(6) of the Federal Rules of Civil Procedure
with respect to Housey’s counterclaim for infringement under § 271(g),
arguing that the provision “applies only to methods of manufacture, and does
not apply to [Housey’s] method patent claims . . . [which] cover methods of
use, not methods of manufacturing.” (Pls.’ Br. In Supp. Of their Mot. to
Dismiss Infringement Claim Under 35 U.S.C. § 271(g) at 2.). Bayer argued that “Section 271(g) is
inapplicable as a matter of law and [Housey’s] claim for infringement of its
method claims under Section 271(g) should be dismissed.” Id.
Bayer characterized Housey’s infringement allegations as follows:
1. Bayer is
liable as an infringer when it sells in the United States a pharmaceutical
composition containing a substance determined to be an inhibitor or activator
of a target protein by use either in the United States or abroad of the
[Housey] United States patented methods.
2. Bayer AB is liable as an infringer when
it imports into the United States research data or information obtained from
using the [Housey] patented methods.
Id. at 4.
In its opposition to Bayer’s
motion to dismiss, Housey similarly described its counterclaim for infringement
under § 271(g) as comprising two separate claims, the first of which was directed
to “the critical information, the identification and characterization of
a drug, [which] is made by [the] patented process” and the second of which was
directed to “the drug made by [the] patented process.” (ICT’s Opp’n to Bayer’s Mot. to Dismiss 35
U.S.C. 271(g) Claim at 2.). The parties,
therefore, were in substantial agreement as to the scope of the counterclaim
for infringement, characterizing it as extending to both the importation of a
pharmaceutical composition identified by the patented process and the
importation of information generated by the patented process.
The district court interpreted
Housey’s infringement claim under § 271(g) to encompass:
(1) [the sale] in the United States [of] a drug that was determined to be an inhibitor or activator of a target protein using the patented methods; and (2) import[ation] into or use in the United States [of] knowledge and information reflecting the identification or characterization of a drug acquired from using the patented methods.
Bayer AG v. Housey Pharm., Inc., 169 F. Supp 2d. 328, 329 (D.
Del. 2001). Based on this
interpretation, the court dismissed Housey’s claim for infringement under §
271(g) for failure to state a claim under Rule 12(b)(6) of the Federal Rules of
Civil Procedure. The court concluded
that “[u]pon a plain reading of the statute, . . . Section 271(g) addresses
only products derived from patented manufacturing processes, i.e.,
methods of actually making or creating a product as opposed to methods of
gathering information about, or identifying, a substance worthy of further
development.” Id. at 330. On August 12, 2002, the court entered final
judgment under Rule 54(b) of the Federal Rules of Civil Procedure in favor of
Bayer on Housey’s section 271(g) counterclaims.
Housey timely appealed. We have
jurisdiction pursuant to 28 U.S.C. § 1295(a)(1).[3]
DISCUSSION
We review issues of statutory
construction without deference. Doyon,
Ltd. v. United States, 214 F.3d 1309, 1314 (Fed. Cir. 2000). We review the grant of a motion to dismiss
under Rule 12(b)(6) by applying the procedural law of the regional
circuit. C&F Packing Co., Inc. v.
IBP, Inc., 224 F.3d 1296, 1306 (Fed. Cir. 2000).
I
This case presents questions
concerning the interpretation of § 271(g), which provides:
Whoever
without authority imports into the United States or offers to sell, sells, or
uses within the United States a product which is made by a process patented
in the United States shall be liable as an infringer, if the importation, offer
to sell, sale, or use of the product occurs during the term of such process
patent . . . . A product which is made by a patented process will, for
purposes of this title, not be considered to be so made after–
(1) it is materially changed by subsequent
processes; or
(2) it becomes a trivial and nonessential component of another
product.
35 U.S.C. § 271(g) (2000)
(emphases added). We are concerned here
in particular with the meaning of the phrase “a product which is made by a
[patented] process.” We have construed portions
of this statute in a number of previous cases.
See, e.g., Mycogen Plant Sci., Inc. v. Monsanto Co., 252
F.3d 1306, 1318 (Fed. Cir. 2001).
However, this case presents issues not previously addressed. When interpreting statutory language, “words
of a statute [are given] their ‘ordinary, contemporary, common meaning,' absent
an indication Congress intended them to bear some different import.” Williams v. Taylor, 529 U.S. 420, 431
(2000) (citations omitted). Dictionaries
of the English language provide the ordinary meaning of words used in
statutes. See, e.g., Carey v.
Saffold, 536 U.S. 214, 219-220 (2002).
II
Housey offers two theories as to
why section 271(g) is applicable here.
First, it contends that the information produced by Bayer using the
patented processes claimed in the Housey patents is itself a product made by a
patented process. Bayer, in turn, argues
that (1) the word “made” means “manufactured” and that (2) information is not a
manufactured product. There is no
serious dispute between the parties concerning the second of these two
propositions: if only products that have
been “manufactured” are within the scope of 35 U.S.C. § 271(g), it
necessarily follows that the statute applies only to physical goods and that
information is not included. Webster’s
Third New International Dictionary (“Webster’s”) defines the verb
form of “manufacture” as “to make (as raw material) into a product suitable for
use . . . to make from raw materials by hand or by machinery.” Webster’s
at 1378 (1968). Similarly, Random
House Webster’s Unabridged Dictionary (“Random House”) defines
“manufacture” as “the making of goods or wares by manual labor or by
machinery.” Random House at 1172
(2d ed. 1998) (emphasis added).[4] These definitions are consistent in referring
to tangible objects and not intangibles such as information. Thus, the production of information is not
within the scope of processes of “manufacture.”
See Webster’s at 1378; Random House at 1172; see
also Diamond v. Chakrabarty, 447 U.S. 303, 308 (1980). Housey, in fact, does not argue that
information is within the statute if the term “made” is construed to mean
“manufactured.” (Appellant’s Br. at
11-14.) We thus turn to the central
question - whether the statutory term “made” means “manufactured.”
III
As used in the statute, the term
“made” is the past tense of the verb “make.”
The dictionaries offer multiple definitions of the term “make.” Some definitions are limited to manufacturing,
for example, “to bring (a material thing) into being by forming, shaping, or
altering material: fashion, manufacture.” Webster’s at 1363.[5] Other definitions broadly encompass
activities in addition to manufacturing.
For example, Webster’s defines “make” as “form as a result of
calculation or design.” Id.[6] Under these circumstances the text is
ambiguous, and we must look beyond the particular language being
construed.
In order to resolve the ambiguity
in the statutory language, we look first to other provisions of the
statute. See Pollard v. E. I. du
Pont de Nemours & Co., 532 U.S. 843, 852 (2001); Gade v. Nat’l Solid Wastes
Mgmt. Ass’n., 505 U.S. 88, 98, (1992).
In a related section of the Omnibus Trade and Competitiveness Act of
1988 (which added 35 U.S.C. § 271(g)), the Act describes a person that uses a
patented process to “produce” a product as a “manufacturer.”[7] 35 U.S.C. § 287(b)(3)(B)(iii) (2000). Similarly, section 287(b)(4)(A) refers to “a
person then engaged in the manufacture of a product” as a person that makes the
product. By referring to the party that
produces a product as a “manufacturer” and the maker as a “person engaged in
the manufacture of a product”, the statute clearly contemplates that “made”
means “manufactured.”
There are other indications as
well that the statute is concerned exclusively with products that are physical
goods produced by a manufacturing process.
One statutory exception to section 271(g) rules out infringement where
the allegedly infringing product “is materially changed by subsequent
processes.” 35 U.S.C. § 271(g)(1)
(2000). Housey’s position – that
information itself is a “product” – is difficult to reconcile with the
existence of this exception, which appears to contemplate a change in a
physical product. Similarly, the second
exception to section 271(g), which provides that there is no infringement where
the accused product “becomes a trivial and nonessential component of another
product,” also appears to contemplate a physical product.
However, Housey urges that the
use of the term “manufacture” in 35 U.S.C. § 101 suggests that “made by”
as used in section 271(g) should not be limited to methods of
“manufacture.” Section 101 defines the
scope of patentable subject matter as including “any new and useful process,
machine, manufacture, or composition of matter, or any new and useful
improvement thereof.” 35 U.S.C. § 101
(2000). Housey’s theory is that Congress
used the word “manufacture” when it wished to refer to manufacturing, and
therefore, must have intended a different meaning when using the phrase “made
by.” We do not agree. We first note that the usage of “manufacture”
in section 101 as cited by Housey is the noun form of the word and not the verb
form. Thus, Housey has pointed to no
provision in the Patent Act where Congress used the term “manufacture” to
denote the process of manufacturing. In
any event, the Supreme Court has said, “Congress, needless to say, is permitted
to use synonyms
in a statute.” Tyler v. Cain, 533
U.S. 656, 664 (2001) (interpreting the statutory language “made” as synonymous
with “held”); See also, e.g. Davis v. United States, 495
U.S. 472, 481 (1990) (holding that the statutory language “for the use of” is
synonymous with “in trust”). Housey’s
position suggests an unrealistic level of clarity in congressional word
selection. We see nothing in section 101
that suggests that “made” in section 271(g) should be construed to be broader
than “manufacture.”[8]
IV
The legislative history leads to
the same conclusion: that Congress was
concerned solely with physical goods that had undergone manufacture.
The history of the enactment of the Process Patents Amendments Act is
quite long. See Eli Lilly
& Co. v. American Cyanamid Co., 82 F.3d 1568, 1574 (Fed. Cir.
1996). Section 271(g) was not enacted on
an entirely blank slate. Rather, it was
designed to provide new remedies to supplement existing remedies available from
the International Trade Commission (“ITC”) under 19 U.S.C. § 1337 (2000). See H.R.
Rep. No. 100-60 at 8-9. Section
1337 (Section 337 of the Tariff Act of 1930) defines “[u]nfair methods of
competition” in import trade. 19 U.S.C. § 1337(a)(1)(A) (2000). One of these statutory “unfair methods of
competition” is the “[t]he importation into the United States, the sale for
importation, or the sale within the United States after importation by the
owner, importer, or consignee, of articles that . . . are made, produced,
processed, or mined under, or by means of, a process covered by the claims of a
valid and enforceable United States patent.”
19 U.S.C. § 1337(a)(1)(B); see also 19 U.S.C.
§ 1337(a)(1)(A) (referring to “unfair acts in the importation of
articles”). When enacting § 271(g),
Congress recognized the availability of redress from the ITC, but noted that
the remedies available thereunder were insufficient to fully protect the owners
of process patents. H.R. Rep. No. 100-60 at 8-9. Thus, the legislative history suggests that
section 271(g) was intended to address the same “articles” as were addressed by
section 1337, but to add additional rights against importers of such
“articles.”[9]
Even if the legislative history
did not affirmatively suggest an intent to limit coverage to manufactured
“articles” in accordance with section 1337, we have been directed to nothing in
the legislative history suggesting that Congress was concerned that the
preexisting statutory scheme failed to reach intangible information, or that
the substantive coverage of the Act, as opposed to the available remedies, was
to be expanded. Each and every reference
to the provision that became section 271(g) describes it as directed to
manufacturing.
For example, a provision similar
to section 271(g) as enacted was proposed as part of an earlier bill in both
the House of Representatives and the Senate in 1983. H.R. 4526, 98th Cong. § 1 (1983); S. 1535,
98th Cong. § 1 (1983). Two new acts of
infringement were to be created by the proposed legislation: 1) infringement by importation, sale, or use
“of a product made in another country by a process patented in the United
States” (the precursor to section 271(g)) ; and 2) infringement by supplying
“the material components of a patented invention . . . intending that such
components will be combined outside the United States” (the provision that
became section 271(f)). Id. The second new act of infringement was a
response to the Supreme Court’s decision in Deepsouth Packing Co., Inc. v.
Laitram Corp., 406 U.S. 518 (1972), which held that the intentional
exportation of components to be combined into a patented article was not an act
of infringement. 130 Cong. Rec. 28,069
(1984). Together, the two new statutory
acts of infringement were intended “to avoid encouraging manufacturing
outside the United States.”[10] Id. (emphasis added.)
A subsequent bill in the
following year again proposed a precursor of section 271(g): “[i]f the patent invention is a process,
whoever without authority uses or sells within, or imports into, the United
States during the term of the patent therefor a product produced by such
process infringes the patent.” S. Rep. No. 98-663 at 30 (1984)
(discussing S. 1535, 98th Cong. § 2 (1984)).
According to the Senate Report, a principal aim of S. 1535 was “[t]o
declare it to be patent infringement to import into, or to use or sell in the
United States, a product manufactured by a patented process.” Id. at 1 (emphasis added).
Again in 1986, language was
proposed substantially similar to section 271(g) as it now exists. H.R.
Rep. No. 99-807, at 1-2 (1986).[11] The House report reasoned that:
The failure of
American patent law to make unlawful the importation of goods made using an
American process patent has deep historical roots. American patent law – like the law of other
nations – does not have an extraterritorial effect . . . . With respect to
process patents, courts have reasoned that the only act of infringement is the
act of making through the use of a patented process; therefore, there can be
not infringement if that act occurs outside the United States. Although the courts are correctly construing
current law, this rationale is inadequate public policy because it ignores the
reality that the offending act is the importation of a product made through the
use of a protected process patent or its subsequent sale within the United
States.
Id. at 5 (emphasis added). Here, the report equates products with
physical “goods.”
A 1987 Senate report on
substantially identical legislation also supports limiting the statute to
manufactured tangible products.
According to the report “[t]he primary target of the U.S. process
patentholder will naturally be the manufacturer, who is practicing the
process and importing the resulting goods into the United States.” S.
Rep. No. 100-83, at 39 (1987) (emphasis added). In discussing potential infringers, the
report stated that “three types of infringers” were envisioned:
(1) [t]he
manufacturer . . . (2) [a]n infringing importer, user or seller who had
knowledge before the infringement that a patented process was used by the
manufacturer to make the product . . . (3) [a]n innocent (i.e. unknowing)
infringing retailer or importer, user or seller who does not himself use the
process, [and] is entitled to take advantage of the limitations on damages and
other remedies available.
Id. at 40 (emphasis added). The “manufacturer” was referred to as the
“preferred defendant because of its direct knowledge of the process.” Id. at 39. The proposed statute also permitted suit
against “the persons receiving the goods in this country in the belief that
they may be in the best position, apart from the manufacturer, to determine how
the goods were made.” Id. (emphasis added). Here again, there is no indication of any
intent to reach products other than tangible products produced by manufacturing
processes.
Housey urges that section 271(g)
was enacted “to provide protection to process patent owners which is meaningful
and not easily evaded.” (Appellee’s Br. at 15) (citing H.R. Rep. No. 100-60 at 13). However, this broadly stated purpose hardly
suggests that the statute covers information.
A similar statement was made earlier in the report as follows:
The purpose of
this bill is to provide meaningful protection to owners of patented
processes. Under current patent law,
owners of such patents have remedies for unauthorized use of the process only
if the process was used in the United States.
As a consequence, while a domestic manufacturer using the
patented process would infringe the process patent, a foreign manufacturer
who imports the product would not.
H.R.
Rep. No. 100-60
at 3. This passage clearly reflects
concern over competition between domestic and foreign manufacturers. The report further provides:
The
value of new manufacturing techniques is reflected in the resulting new
products. A new process may enhance the quality of the
product produced, or the new process may permit the product to be made much
more economically. In some cases, for
example biotechnology, the new process may be the only method of producing a
new product. In all of these instances,
the advantage to the process patent owner is realized by suing or selling the
product, or licensing others to do so.
As a consequence, the unfettered ability of others to import, sell or
use a product made by the patented process, severely diminishes the value of a
U.S. process patent.
Id.
Thus, Congress was concerned with tangible products and not mere
information. Here again, “process
patent” was interpreted as synonymous with “manufacturing technique.”
In the face of silence in the
legislative history, here as to the coverage beyond manufactured articles,
courts are reluctant to broadly interpret the legislation. See Dewsnup v. Timm, 502 U.S.
410, 419 (1992) (stating that “th[e] Court has been reluctant to accept
arguments that would interpret the [Bankruptcy] Code, however vague the
particular language under consideration might be, to effect a major change in
pre-Code practice that is not the subject of at least some discussion in the
legislative history”); Sheet Metal Workers’ Int’l Ass’n v. Lynn, 488
U.S. 347, 356 (1989) (reasoning that “had Congress contemplated such a result,
we would expect to find some discussion of it in the text of the [Act] or its
legislative history”); Shearson/American Express, Inc. v. McMahon, 482
U.S. 220, 238 (1987) (refusing to adopt an interpretation of a statute, in
part, because “[t]here is no hint in these legislative debates that Congress
intended [that result]”). The
legislative history’s very silence thus suggests that Congress did not intend
to expand coverage beyond manufactured articles.
V
Finally, reading the statute to
cover processes other than manufacturing processes could lead to anomalous
results. The importation of information
in the abstract (here, the knowledge that a substance possesses a particular
quality) cannot be easily controlled. As
Bayer points out, a person possessing the allegedly infringing information
could, under Housey’s interpretation, possibly infringe by merely entering the
country. (Appellee’s Br. at 39.) Such an illogical result cannot have been
intended. See Paul v. Davis,
424 U.S. 693, 698-99 (1976).
Under these circumstances we
think it is best to leave to Congress the task of expanding the statute if we
are wrong in our interpretation.
Congress is in a far better position to draw the lines that must be
drawn if the product of intellectual processes rather than manufacturing
processes are to be included within the statute.
We, therefore, hold that in order
for a product to have been “made by a process patented in the United States” it
must have been a physical article that was “manufactured” and that the
production of information is not covered.
VI
This, however, is not the end of
the inquiry. As characterized by Bayer
in its motion to dismiss, Housey’s counterclaim of infringement also extended
to “a pharmaceutical composition containing a substance determined to be an
inhibitor or activator of a target protein by use either in the United States
or abroad of the [Housey] United States patented methods.” (Pls.’ Brief in Supp. Of their Mot. to Dismiss
Infringement Claim Under 35 U.S.C. § 271(g) at 4.) In opposing dismissal, Housey agreed that the
counterclaim included drug products, stating that “the drug [itself was]
made by [the] patented process.” (ICT’s
Opp’n to Bayer’s Mot. to Dismiss 35 U.S.C. § 271(g) Claim at 2.) The factual basis upon which Housey made its
counterclaim for infringement by the drug product was that:
Pursuant to 35
U.S.C. § 295, [the district court] may presume that a product was made [by
Housey’s] patented methods where there is a substantial likelihood that it was
so made by and [Housey] has made reasonable efforts to determine the process
actually used. Here, there is
substantial likelihood that [Housey’s] methods were used by Bayer to make the
characterization of a pharmacologically active agent.
(Answer to Complaint and
Counterclaim at 4-5.) Thus, Housey
alleged that, as a result of the claimed research process, Bayer produced drugs
using information created by the patented processes.
It is beyond dispute that a drug
is a physical product that has been manufactured. The issue, therefore, is the necessary
relationship under the statute between the “process patented in the United
States” and the resulting product; i.e., we must determine whether a
drug that was identified as useful through the use of a patented process is a
“product which [was] made by [that] process.” 35 U.S.C. § 271(g) (2000). As we have previously noted:
[t]he statute [35 U.S.C. § 271(g)] does not specify what products will be considered to have been ‘made by’ the patented process, apparently because Congress wanted the courts to resolve this critical question of proximity to the product of the patented process on a case-by-case basis.
Bio-Technology General Corp. v.
Genetech, Inc., 80
F.3d 1553, 1561 (Fed. Cir. 1996). In Bio-Technology
we affirmed the district court’s ruling that a protein made by a host organism
expressing an inserted plasmid was a product “made by” the patented process for
creating the plasmid itself. Id. Here, unlike the process in Bio-Technology,
the patented process is not used in the actual synthesis of the drug
product. We agree with the district
court’s conclusion that “processes of identification and generation of data are
not steps in the manufacture of a final drug product.” Bayer AG, 169 F. Supp 2d. at 331.
The statute requires that the
allegedly infringing product have been “made by a process patented in
the United States.” 35 U.S.C. § 271(g)
(emphasis added). The pertinent
dictionary definitions of “by” are “through the means or instrumentality of[;]
. . . through the direct agency of[;] . . . through the medium
of[;] . . . through the work or operation of.”
Webster’s at 307.[12] Thus, the process must be used directly in
the manufacture of the product, and not merely as a predicate process to
identify the product to be manufactured.
A drug product, the characteristics of which were studied using the
claimed research processes, therefore, is not a product “made by” those claimed
processes. Accordingly, Housey did not
state a claim of infringement by a Bayer drug product based on its asserted
method claims.
CONCLUSION
For
the foregoing reasons, the decision of the district court to dismiss Housey’s
claims of infringement under 35 U.S.C. § 271(g) is
AFFIRMED
COSTS
No costs.
[1] All four Housey patents claim priority from U.S. Application No. 154,206 filed February 10, 1988, although the final three patents included additional disclosure via a continuation-in-part application filed August 10, 1989. For purposes of this appeal the patents are identical in all material aspects, and so will be described with respect to the final issued patent, U.S. Patent No. 5,877,007 (“the ‘007 patent”).
[2] Claim 1 of
U.S. Patent No. 4,980,281 is exemplary of the claims at issue, and provides in
its entirety:
A
method of determining whether a substance is an inhibitor or activator of a
protein whose production by a cell evokes a responsive change in a phenotypic
characteristic other than the level of said protein in said cell per se, which
comprises:
(a) providing a first cell line which produces said protein and exhibits said
phenotypic response to the protein;
(b) providing a second cell line which produces the protein at a lower level
than the first cell line, or does not produces the protein at all, and which
exhibits said phenotypic response to the protein to a lesser degree or not at
all;
(c) incubating the substance with the first and second cell lines; and
(d) comparing the phenotypic response of the first cell line to the substance
with the phenotypic response of the second cell line to the substance.
[3] Amici
Affimetrix, Inc., Perlegen Sciences, Inc., and Symyx Technologies, Inc. stated
that subsequently, on November 21, 2002, the district court entered judgment
that all of the asserted claims of the patents-in-suit are invalid. Based on this holding, the amici urge that
this appeal had become moot. The
validity decision of the district court is separately subject to appeal and, in
fact, is on appeal to this court in a related case. Housey Pharmaceuticals, Inc. v.
Astrazeneca UK Ltd., No. 03-1193, -1210 (Fed. Cir. filed Jan. 10,
2003). Therefore, the district court’s
invalidity decision does not render this case moot.
[4] In American
Fruit Growers, Inc. v. Brogdex Co., the Supreme Court defined the verb form
of “manufacture” as “the production of articles for use from raw or
prepared materials by giving to these materials new forms, qualities,
properties, or combinations, whether by hand-labor or by machinery.” 283 U.S. 1, 11 (1931) (quoting the Century
Dictionary). An “article” is “one of
a class of material things . . . piece of goods : commodity.”
Webster’s at 123 (emphasis added).
[5] Random House states: “to bring into existence by shaping or changing material, combining parts, etc.” Random House at 1161.
[6] Random House states: “to produce; cause to exist or happen; bring about.” Random House at 1161.
[7] By sending a request for information to the “person then engaged in the manufacture of the product“ to determine the process used, an alleged infringer can limit potential damages under section 271(g). 35 U.S.C. § 287(b).
[8] Appellant additionally cites 35 U.S.C. § 100(b), which defines the term “process” as “process, art or method, and includes a new use of a known process, machine, manufacture, composition of matter, or material.” This definition, however, does not aid in construing the proper scope of the language “made by” in section 271(g).
[9] We recognize
that section 1337 covers both articles that were “made” and articles that were
“produced, processed, or mined.” While
this language in section 1337 perhaps suggests a broader scope for section 1337
than for section 271(g), nothing in section 1337 suggests coverage of
information, in addition to articles, under section 271(g).
[10] The
precursor language to section 271(g) was subsequently deleted from the Senate
version of the legislation so that issues regarding its scope could be
addressed. 130 Cong. Rec. 31,834
(statement of Sen. Mathias). The
remaining sections of the bill became the Patent Law Amendments Act of 1984,
Pub. L. No. 98-622, 98 Stat. 3833.
[11] The proposed language for § 271(g)
provided:
Whoever
without authority imports into the United States or sells or uses within the
United States a product which is made by a process patented in the
United States shall be liable as an infringer, if the importation, sale, or use
of the product occurs during the term of such process patent. In an action for infringement of a process
patent, no remedy may be granted for infringement on account of the use of a
product unless there is no adequate remedy under this title for infringement on
account of the importation or sale of that product. A product which is made by a patented process
will, for purposes of this title, not be considered to be so made after --
(1)
it is materially changed by subsequent processes; or
(2) it becomes a
minor or nonessential component of another product.
H.R. Rep. No.
99-807, at 1-2 (1986) (emphasis added).
[12] Random
House similarly defines “by” as “through the agency, efficacy, work,
participation, or authority of.” Random
House at 287.