Supreme Court Blows a Chance


Last year the US Supreme Court agreed to hear an appeal on a patent infringement case. This was a prime opportunity for the court to take a stand on rule on the limits of the fundamentally broken US patent system. For at least the last decade the USPTO (US patent and trademark office) has been granting patents on all kinds of obvious concepts seemingly without even reading the applications in most cases. They have issued such legendary patents as the sideways swinging patent and the Amazon One-click patent. This term the Supreme Court agreed to hear a patent infringement case involving Metabolite Laboratories Inc patent on the relationship between homocysteine levels in the blood and vitamin B12 levels. Metabolite had sued Laboratory Corporation of America (where do they come up with these brilliant names anyway?) for infringement. LabCorp had claimed that the patent was too broad and and did not actually cover any invention. Metabolite had determined that there was a correlation between B12 levels (which are difficult to measure directly) and homocysteine levels which are relatively easy to measure. They were essentially granted a patent for determining that A is proportional to B and if A goes up or down so does B. For some ridiculous reason two lower courts had sided with Metabolite and agreed that LabCorp was infringing but evidently didn’t look at the actual validity of the patent.

The court agreed to hear the case last fall just after John Roberts joined. Apparently the Bush Administration didn’t want this case heard however, because they filed a brief asking that the case be rejected. As usual the court bowed to King George’s crew. Yesterday they issued a dismissal of the case stating only that they erred in taking the case without any further explanation. Roberts had recused himself apparently because his old law firm had been involved in the case. Justice Stephen Bryer along with John Paul Stevens and David Souter wrote a strong dissent stating that the patent should have been invalidated.

Writing for the three dissenters, Justice Stephen Breyer said the patent amounted to “no more than an instruction to read some numbers in light of medical knowledge.”

Failing to decide on the merits of the case “threatens to leave the medical profession subject to the restrictions imposed by this individual patent and others of its kind,” Breyer wrote. He was joined by Justices John Paul Stevens and David Souter.

The court had a prime opportunity reign in the out of control patent system. They blew it big time. Just like the Pledge of allegiance case they dismissed it on a technicality. These are not trivial cases. The patent system can have a major impact on our economy. It affects how much people have to pay for things because a grants limited monopoly power to patent holders. Abuse of the patent system is one of the big reasons why prescription drug costs are so insanely high. Pharmaceutical companies keep making minor tweaks to their drug formulations without actually coming up with anything fundamentally new, just so they can extend their patent protection. This is one of the major drivers of skyrocketing health care costs in this country. Those health care costs in turn are one of the biggest pain points for American manufacturing companies, especially the automakers. This is one of the things that is driving all manufacturing to other countries and leaving us with low paying, low benefit jobs at places like Wal-Mart. Lets hope another patent case comes before the court soon and they actually address it next time.

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