In Federal Trade Commission v. Actavis Inc., the U.S. Supreme Court ruled that brand-name drug manufacturers can be sued for paying generic drugmakers to delay the release of low-cost versions of blockbuster drugs.

Commenting on the significance of the decision, John Wetherell, co-leader of the firm’s life sciences group and a partner in the IP practice, said, “Considering the Supreme Court's tendency to try to strike a balance, this ruling is not surprising. It will be of critical importance to see how this will play out in terms of future litigation.”

“This is especially true with respect to the court emphasizing the use of five considerations that should be considered in applying the 'rule of reason' which is more heavily used on an antitrust setting,” he added.