DELHI HIGH COURT
C.HARI SHANKAR
Merck Sharp and Dohme Corp. – Appellant
Versus
YMS Laboratories Private Limited – Respondent
| Table of Content |
|---|
| 1. settlement terms regarding patent infringement. (Para 1 , 2 , 3) |
| 2. court acknowledges mutual agreement. (Para 4 , 5 , 6) |
| 3. decree and court fee refund granted. (Para 7 , 8) |
C. Hari Shankar, J.
I.A. 21336/2022(Order XXIII Rule 3 of the CPC)
1. The dispute between the plaintiffs and the defendant stands settled mutually.
2. This application under Order XXIII Rule 3 of the Code of Civil Procedure, 1908 (CPC) seeks that the suit be decreed in terms of the said settlement.
3. The terms of settlement, as set out in para 2 of the application may be reproduced, thus:
"(i) The Parties have agreed that the Commercial Suit for Patent Infringement, being C.S.(Comm) 250 of 2021 shall be decreed by the Hon'ble High Court of Delhi, in terms of the present settlement agreement.
(ii) The Defendant acknowledges the validity of the suit patent IN 209816 and the Plaintiff No. 1's exclusive right in dealing in Sitagliptin or any of its pharmaceutically acceptable salts, as an Active Pharmaceutical Ingredient (hereinafter referred as `API') including Sitagliptin Phosphate Mono-hydrate, as an impurity, finished product or any of its pharmaceutically acceptable salt
Settlement terms enforceable under CP Code, where defendant acknowledges patent validity and agrees to refrain from infringing activities.
The court's decision was influenced by the lawfulness of the settlement agreement and its impact on the decree of the suit in favor of the plaintiffs.
The court's decision was influenced by the settlement agreement, which was found to be lawful and binding upon the parties, leading to the decree in favor of Defendant 1.
Infringement of a patent and liability for damages after the expiration of the patent term
An amicable settlement resolving patent disputes, where parties acknowledge validity and agree not to infringe, is enforceable under Order XXIII Rule 3 of the CPC.
Settlement agreements in patent infringement cases can lead to the decree of the suit and entitlement to a refund of court fees.
The main legal point established in the judgment is the court's authority to decree a suit based on a settlement agreement under Order XXIII Rule 3 of the Code of Civil Procedure.
The acknowledgment of patent validity and early settlement entitles the plaintiff to a full refund of court fees under CPC Order XXIII Rule 3.
The court upheld the proprietary right of the plaintiff over the patented agricultural composition and prohibited Defendant 1 from infringing the plaintiff's patent.
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