Albany Molecular Research Inc v Arrow Pharmaceuticals Pty Ltd (No 2) [2011] FCA 426

Albany Molecular Research Inc v Arrow Pharmaceuticals Pty Ltd (No 2) [2011] FCA 426

Respondents as successful parties are entitled to their costs on the principal application and the cross-claim, except for costs incurred solely on the inventive step ground or other unsuccessful invalidity grounds; indemnity costs are denied because the outcome was not more favourable than the rejected offer of compromise, and it would not be unreasonable for the applicant to have refused the offer regarding claim 11.

Jurisdiction
Australia
Judgment Date
04 May 2011
Procedural Posture
Costs Determination Following Patent Infringement and Invalidity Proceedings / Post Judgment (costs Orders After Final Judgment and Orders)
Outcome
Costs orders made: Applicant to pay respondents' costs of the application except as outlined, cross-respondents to pay cross-claimants' costs of the cross-claim except as outlined, no order as to further costs after 18 February 2011.
Legal Topics
['patent Infringement' 'patent Validity' 'costs Orders' 'offers of Compromise' 'indemnity Costs']
['intellectual Property' 'civil Procedure'] ['patent Infringement' 'patent Validity' 'costs Orders' 'offers of Compromise' 'indemnity Costs']

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Procedural Posture

Costs Determination Following Patent Infringement and Invalidity Proceedings / Post Judgment (costs Orders After Final Judgment and Orders)

Legal Issues

  1. 1 ['Whether respondents are entitled to their costs of defending the infringement proceeding' 'Whether cross-claimants are entitled to costs of the cross-claim, in light of partial success on invalidity grounds' 'Whether costs after 18 February 2011 should be otherwise ordered given post-judgment submissions' 'Whether costs should be taxed on an indemnity basis due to an offer of compromise']

Ratio Decidendi

Respondents as successful parties are entitled to their costs on the principal application and the cross-claim, except for costs incurred solely on the inventive step ground or other unsuccessful invalidity grounds; indemnity costs are denied because the outcome was not more favourable than the rejected offer of compromise, and it would not be unreasonable for the applicant to have refused the offer regarding claim 11.

Court Disposition

Costs orders made: Applicant to pay respondents' costs of the application except as outlined, cross-respondents to pay cross-claimants' costs of the cross-claim except as outlined, no order as to further costs after 18 February 2011.

Orders

  • ["Subject to Order 3, the applicant pay the respondents' costs of the application." "Subject to Order 3, save for costs incurred only in connection with specific failed invalidity allegations, the cross-respondents pay the cross-claimants' costs of the cross-claim." 'No order as to the costs incurred by the parties...