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33 Biotechnology L. Rep. 1 (2014)

handle is hein.journals/bothnl33 and id is 1 raw text is: Selected Developments in Biotechnology Law
and the Biotechnology Industry

AUSTRALIAN HIGH COURT HOLDS
THAT METHODS OF TREATMENT
REMAIN PATENT ELIGIBLE
In the case of Apotex Pty Ltd. v. Sanofi-Aventis Aus-
tralia Pty Limited, the Australian High Court affirmed
the nation's prevailing standard that methods-of-treat-
ment claims comprise patentable subject matter. The
case examined the validity of a method directed to a
new use for an off-patent drug, leflunomide (using
it to treat psoriasis). On December 4, 2013, the High
Court concluded that the claim-and method-of-
treatment claims more generally-describes an artifi-
cially created state of affairs providing economic utility,
which is the threshold standard for patentability in Aus-
tralia. In so holding, the High Court has settled the mat-
ter, barring legislative action or future reconsideration
by the High Court itself. The decision keeps Australian
law in this regard aligned with that of the United States,
although divergent from European law (where method
of treatment or diagnosis claims are not patentable).
AUSTRALIAN COURT AFFIRMS
THAT ISOLATED GENES MAY BE
PATENTED-FOR NOW
A Federal Court in Australia also held, in Cancer
Voices Australia v. Myriad Genetics, that naturally oc-
curring genes that have been isolated from the body
(but not otherwise manipulated or altered) may be pat-
ented, as an artificial state of affairs that gives rise
to economic utility. However, the decision is being
appealed to the full Federal Court, so the matter cannot
be viewed as settled. The Australian Court's decision
stands in contrast to the decision of the U.S. Supreme
Court in Association for Molecular Pathology v.
Myriad Genetics, which held that isolated, naturally
occurring DNA is not patent eligible.
U.S. SUPREME COURT DENIES APPEAL
BY BIOTECHNOLOGY EXECUTIVE
IN FRAUD CASE
W. Scott Harkonen (whose name unfortunately in-
vokes that of Baron Harkonnen, the heavyweight-

in every sense of the word-bad guy from Frank Her-
bert's Dune) was Intermune's CEO in 2002, when the
company put out a press release that included state-
ments from him that the company's drug Actimmune
was the only available treatment shown to have clin-
ical benefit against idiopathic pulmonary fibrosis.
The press release also stated that Actimmune had re-
duced the death rate from the disease by 70% for pa-
tients with mild to moderate cases.
Unfortunately, the drug's clinical trials had not
shown any effect on the difficult-to-treat disease.
Harkonen was accused of knowingly misstating
the results of the trials and was convicted in
2009 of wire fraud for putting out the press release.
Harkonnen was fined $20,000 and sentenced to 6
months of home confinement; Intermune has paid
$37 million to settle claims growing out of its mar-
keting of Actimmune. Harkonen has steadfastly
maintained his innocence, but the Supreme Court's
decision now closes off his last avenue for proving
it. Harkonen's appeal was supported by an industry
trade group, the Pharmaceutical Research and
Manufacturers of America.
2014 RULING EXPECTED FROM
EUROPEAN COURT ON HUMAN RIGHTS
ON THE STATUS OF THE HUMAN EMBRYO
In the case of Adelina PARRILLO v. Italy (No.
46470/11), the European Court on Human Rights
(ECtHR; now there's an acronym that doesn't exactly
roll trippingly off the tongue!) is expected to rule in
2014 on the status of human embryos. The factual con-
text is that an Italian couple had five embryos fertil-
ized and frozen for future implantation; before that
happened, however, Adelina Parrillo lost her husband
and also her desire to have the embryos implanted.
Under Italian law, human embryos may not be
destroyed (including for medical research), which
means that Parrillo would have to keep the embryos
frozen indefinitely, or at least until they naturally be-
came nonviable. Understandably dissatisfied with
that state of affairs, she appealed to the ECtHR, claim-
ing that her property rights over the embryos and
her right to a private life have both been breached by
this Italian law.

1

33 Biotechnology Law Report 1
Number 1, 2014
( Mary Ann Liebert, Inc.
DOI: 10.1089/bir.2014.9995

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