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Preliminary injunction inappropriate where defendant raised a substantial question of validity under anticipation

Preliminary injunction inappropriate where defendant raised a substantial question of validity under anticipation

OrthoAccel Technologies v. Propel Orthodontics is a nonprecedential case decided on September 23, 2019 on appeal from the Northern District of California. The district court denied plaintiff OrthoAccel’s motion for a preliminary injunction because defendant Propel raised a substantial question of validity for the patent under anticipation. OrthoAccel appealed.

The Federal Circuit affirmed the denial of the preliminary injunction.

The district court did not abuse its discretion in denying the injunction. “A patent owner moving for a preliminary injunction must establish that… it is likely to succeed on the merits.” To show this, the patent owner “must demonstrate that it will likely succeed in proving infringement, and that it will likely prevail on the issue of invalidity, if raised.” “To challenge validity at the preliminary injunction stage, the challenger must come forward with evidence of invalidity, just as it would be required to at trial, because an issued patent always enjoys a presumption of validity.” “Once the challenger presents evidence of invalidity, the burden is on the patent owner to present contrary evidence to persuade the court that, despite the challenge presented to validity, the patentee nevertheless is likely to succeed at trial on the validity issue.” Here Propel adequately challenged the validity of the patent under anticipation at the preliminary injunction stage.
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“[I]n light of Propel’s challenge to the validity of the… patent, the district court did not abuse its discretion by requiring OrthoAccel to prove at the preliminary injunction stage that it was more likely than not to prevail on the invalidity issue at trial.”