"The U.S. Court of Appeals for the Federal Circuit (CAFC) today issued a precedential decision in Ingevity Corporation v. BASF Corporation, affirming a jury verdict that found Ingevity liable for unlawful tying under federal antitrust laws. On appeal, the CAFC upheld the U.S. District Court for the District of Delaware's decision to deny Ingevity's post-trial motions for judgment as a matter of law (JMOL). As a result, the ruling included an award of more than $84 million in trebled damages to BASF Corporation (BASF). Judge Lourie authored the unanimous opinion, joined by Judges Prost and Cunningham."
"The dispute focused on carbon honeycombs, an activated carbon structure used to filter airborne pollutants in automobiles. Ingevity Corporation, Ingevity South Carolina, LLC, and BASF manufacture these honeycombs for use in two different applications of air-intake systems and fuel vapor canisters. Ingevity owns U.S. Patent RE38,844, which is directed to a dual-stage fuel-vapor canister system. While honeycombs used in fuel vapor canisters fall within the scope of the '844 patent, those used in air-intake systems do not, a central distinction in the case."
Ingevity and BASF competed in manufacturing activated carbon honeycombs used in automobile emissions controls, with honeycombs serving air-intake systems and fuel-vapor canisters. Ingevity owns U.S. Patent RE38,844 covering a dual-stage fuel-vapor canister system; the patent covers honeycombs for fuel-vapor canisters but not those for air-intake systems. BASF introduced EvapTrap XC in 2016 with similar dimensions but different materials and processes. BASF alleged that Ingevity conditioned patent licenses on exclusive purchases and brought Sherman Act tying and exclusive dealing claims and a tortious interference claim. A jury found unlawful tying and awarded trebled damages exceeding $84 million; the Federal Circuit affirmed denial of JMOL and the verdict.
Read at IPWatchdog.com | Patents & Intellectual Property Law
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