Managing IP is part of the Delinian Group, Delinian Limited, 4 Bouverie Street, London, EC4Y 8AX, Registered in England & Wales, Company number 00954730
Copyright © Delinian Limited and its affiliated companies 2023

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Bass files 16th IPR petition as opposition continues to build

Kyle Bass has filed another IPR petition targeting a pharma company, taking aim again at the Vimovo pain reliever, while IPO has passed a resolution opposing the use of post-grant proceedings to manipulate the market


The Coalition for Affordable Drugs has filed its 16th inter partes review (IPR) petition, taking aim for a second time at the Vimovo treatment made by Pozen and sold by Horizon Pharma in the US. Vimovo is an arthritis pain reliever.

Kyle Bass, who runs hedge fund Hayman Capital, and Erich Spangenberg, owner of nXn Partners, are behind the coalition. IP Nav is also involved.

I spoke to Bass last month for our June cover story and he made very clear that he is serious about taking on pharmaceutical and biotech companies through Patent Trial and Appeal Board proceedings and that he will not give up.

You can read the full story, including an analysis of Bass’s strategy, the response from IP practitioners and trade groups, and the potential action from Congress and the Board here (only available to subscribers and trialists – you can take out a trial to the site here).

Bass underlined that he is filing merit-based IPRs with the expectation of seeing the challenge through to a final decision by the PTAB. Hayman Capital says it will not accept settlement payments to drop its challenges.

Bass praised the IPR system. "It is very pro-competitive," he told me. "It was designed to mine-clear patent trolls in the tech space, and now it is allowing firms like ours to challenge patent squatters."

Pharma and bio patent owners have not taken lightly to Bass’s provocation. BIO labeled his strategy “a new door to abuse of the patent system”, and accused him of using PTAB proceedings to short sell stock.

Last week, the PATENT Act was reported to the full Senate and included a new provision allowed the PTAB to deny petitions “in the interest of justice”. This was likely drafted with PTAB strategies such as Bass's in mind. 

And this week IPO passed a resolution opposing the use of post-grant proceedings to manipulate the market.

The resolution said: “IPO believes it is an abuse to file AIA petitions for post grant proceedings by persons who have a significant bet against, or short, of the shares of the patent owners owning the patents challenged in the petitions; now, therefore, IPO urges the United States Patent and Trademark Office to use its discretion to deny petitions filed by such persons.”

Only 30% of our content is published on our blog – to access all of our content you need to be a subscriber.

We like to offer our loyal blog readers a special rate, so register your interest in coming on board as a subscriber and we will be in touch shortly.


more from across site and ros bottom lb

More from across our site

Civil society and industry representatives met in Geneva on Thursday, September 28 to discuss a potential expansion of the TRIPS waiver
Sources say the beta version of the USPTO’s new trademark search tool is a big improvement over the current system but that it isn’t perfect
Canadian counsel weigh in on the IP office’s decision to raise trademark filing fees in 2024 and how they’re preparing clients
We provide a rundown of Managing IP’s news and analysis coverage from the week, and review what’s been happening elsewhere in IP
Shira Perlmutter, US Register of Copyrights, discussed the Copyright Office's role in forming generative AI policy during a House of Representatives hearing
The award marks one of the highest-ever damages received by a foreign company in a trademark infringement suit in China
Two orders denying public access to documents have reignited a debate over a lack of transparency at the new court
Rouse’s new chief of operations and the firm’s CEO tell Managing IP why they think private equity backing will help it conquer Europe
Brian Landry, partner at Saul Ewing, reveals how applicants can prosecute patent applications in the wake of the Federal Circuit's In re Cellect ruling
Ronelle Geldenhuys of Australia’s Foundry IP considers the implications complex computer technologies such as AI have on decision-making