KFx Medical Wins Again as Arthrex Rehearing Request Denied in $35 Million Judgment of Patent Infringement and Validity

SAN DIEGO–(BUSINESS WIRE)–KFx Medical announced that the United States Court of Appeals for the Federal Circuit today reaffirmed their Jan 20, 2015 ruling upholding a judgment of the United States District Court for the Southern District of California in which a jury found that Arthrex infringed KFx’s U.S. Patent No. 7,585,311 and two other patents, found the patents were valid, and awarded $29 million in damages. The District Court later awarded additional damages and interest to bring the total judgment to over $35 million. In today’s ruling an Arthrex petition for en banc rehearing was denied and the mandate to enforce the judgment issued.

“This is a victory for patients as it firmly reinforces that new ideas for better patient care can be protected,” indicated KFx president and CEO Tate Scott. “We applaud the companies who licensed our method for superior double row repair of rotator cuff tears in order to provide better medical care. Simply put, they did the right thing.”

Joseph F. Jennings of Knobbe, Martens, Olson & Bear, LLP argued the appeal on behalf of KFx January 6, 2015 in Washington D.C. With him on the brief were Sean M. Murray, Marissa Calcagno, and Brian C. Horne also with Knobbe Martens. Mr. Jennings successfully tried the case in the District Court.

On August 1, 2011, KFx filed the complaint against Arthrex alleging claims of induced and contributory infringement of United States Patent Number 7,585,311. Previously KFx licensed the ‘311 family of patents to Johnson and Johnson and Smith & Nephew.

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