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MORPHOSYS AG v. Cambridge Antibody Ltd.

Citations: 62 F. Supp. 2d 100; 52 U.S.P.Q. 2d (BNA) 1126; 1999 U.S. Dist. LEXIS 13803; 1999 WL 705121Docket: Civ.A. 99-1012 (JR)

Court: District Court, District of Columbia; August 10, 1999; Federal District Court

Narrative Opinion Summary

In this case, Morphosys AG seeks a declaratory judgment to confirm non-infringement of U.S. patent number 5,885,793 held by Cambridge Antibody Technology, Limited. Cambridge filed a motion to dismiss the case, arguing a lack of case or controversy. However, the court, led by Judge Robertson, determined that Morphosys possessed a reasonable apprehension of an impending infringement lawsuit from Cambridge. This determination was based on Cambridge's previous legal actions against Morphosys concerning related European patents and communications implying potential infringement of the '793 patent. The court applied a two-part test for declaratory judgment jurisdiction, requiring both a threat of litigation and activities by the plaintiff that could be considered infringing. Based on these criteria, the court found Morphosys' apprehension justified and denied Cambridge's motion to dismiss. The judgment draws from relevant case law, noting the distinct differences in Morphosys' situation compared to other cases where threats were less direct. Consequently, Morphosys' concerns about potential legal challenges to its HuCAL library were deemed reasonable, allowing the case to proceed in seeking a declaratory judgment of non-infringement.

Legal Issues Addressed

Comparison with Case Law

Application: The court distinguishes Morphosys' case from similar cases, emphasizing the unique circumstances that justify Morphosys' apprehension of a lawsuit.

Reasoning: Comparisons are made to case law, indicating that Morphosys' situation differs from Cylink Corp. v. Schnorr, where the alleged threats did not come from the suing party, and from Shell v. Amoco and Cygnus Therapeutics Systems v. ALZA Corp., where the plaintiffs had sought licenses without receiving threats.

Declaratory Judgment Jurisdiction

Application: The court establishes jurisdiction for declaratory judgment by confirming that Morphosys has a reasonable apprehension of a potential infringement lawsuit from Cambridge.

Reasoning: To establish jurisdiction for declaratory judgment, the court applies a two-part test requiring (1) an explicit threat or action by the patent holder creating reasonable apprehension of an infringement suit and (2) existing activities by the plaintiff that could be seen as infringing.

Non-Infringement Declaratory Judgment

Application: Morphosys seeks a declaratory judgment to confirm non-infringement, which the court supports by denying Cambridge's motion to dismiss based on the reasonable apprehension of a lawsuit.

Reasoning: The court concludes that Morphosys has met these criteria, thereby denying Cambridge's motion to dismiss.

Reasonable Apprehension of Suit

Application: The court finds that Morphosys' apprehension of a lawsuit is reasonable based on Cambridge's communications and actions after the issuance of the '793 patent.

Reasoning: A fax sent to Morphosys the day after the issuance of the '793 patent contained a press release about a U.S. patent encompassing broad claims on human antibodies isolated by phage display, which Morphosys interpreted as a veiled threat.