Game, set, match. Arthrex, Inc. has scored a double bagel patent victory over Parcus Medical, LLC.
When several former high-level Arthrex executives left the company in 2007 to sell less expensive “generic” arthroscopic products, they took proprietary information with them. Arthrex sued them in December, 2001 for patent infringement.
On August 26, 2014, Arthrex announced that Parcus Medical acknowledges that certain ex-Arthrex employees took proprietary information, including product manufacturing programming and manufacturing know-how relating to Arthrex products. Parcus also acknowledges that the information was found in Parcus’ possession without Arthrex’s authorization.
The parties have agreed on remedial measures, including purging of the Arthrex proprietary information from Parcus and compensation to Arthrex.
The ‘451 Patent
Parcus also acknowledges that certain Parcus drill guides use the patented technology in Arthrex’s United States Patent No. 5, 993, 451 “Cannulated Suture Anchor Drill Guide”. The patent was issued to Dr. Stephen Burkhart and assigned to Arthrex. Parcus acknowledges that this patent is valid, and regrets the use of this technology without Arthrex’s authorization.
The court disagreed with Parcus Medical’s argument of a claim limitation and that “cylindrical handle” means “a handle that is shaped similar to a cylinder.”
Parcus Agrees to Royalties
In matters unrelated to the litigation between the parties, Parcus also admits that some of its products use Arthrex’s technology in United States Patent No. 8, 343, 186, United States Patent No. 8, 623, 052, and United States Patent No. 8, 801, 755. Parcus has now agreed to pay a royalty for the use of the patented features in these patents.
