The companies have a number of court actions pending involving cryoablation systems in the US and Canada and an International Trade Commission investigation each of which they have agreed to terminate.
As part of the settlement, the companies have agreed to mutual covenants that provide for all of the existing litigation to be withdrawn and an agreement by all parties not to sue each other in regards to certain other cryoablation-related intellectual property over the next 12 years. As part of the terms of the resolution, CryoCath has agreed to the payment of royalties on certain future products for a limited time.
The companies have also agreed to permit the two interference proceedings pending with the US Patent and Trademark Office Board of Patent Appeals and Interferences to proceed, but regardless of the outcome, the surviving patent(s) will be subject to the covenants not to sue.
Jan Keltjens, president and CEO of CryoCath, said: “We believe this is a positive and far-reaching resolution of the disputes among CryoCath, Boston Scientific and the related parties. The resolution of these disputes reflects the value of CryoCath’s intellectual property and allows us to focus our resources on driving our rapid business growth.”