Thread by @calyxlaw

Canopy Growth sues GW Pharmaceuticals:

Complaint for patent infringement filed on 12/22 in Texas

“This dispute relates to GW’s continued, unauthorized use of Canopy’s patented processes for extracting cannabidiol from cannabis plant material.”

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$CGC $GWPH #cannabispatents

Canopy alleges infringement of one patent:

US Patent No. 10,870,632 “Process For Producing An Extract Containing Tetrahydrocannabinol And Cannabidiol From Cannabis Plant Material, And Cannabis Extracts”

Patent issued 12/22—same day complaint filed

pdfpiw.uspto.gov/.piw?Docid=108…

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Canopy got the patent in its acquisition of Germany’s C3 Cannabinoid Compound Company, founded by herbal medicine manufacturer Bionorica SE

It is part of a patent family dating back to a German application filed on October 17, 2000

It relates to CO2 extraction of THC & CBD

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Although the patent issued the day the complaint was filed, Canopy alleges:

–“GW has been monitoring the ’632 Patent family for over fourteen years.”

–GW previously challenged a European counterpart application

–GW previously declined to license a related application

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Canopy’s patent contains broad claims to cannabis extraction:

Claim 1 covers subcritical CO2 extraction of THC and/or CBD

Claim 14 adds a decarboxylation step

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Canopy quotes from GW’s CBD manufacturing process description to assert infringement, and allege:

–"GW’s process includes decarboxylating”

–“GW’s process includes subjecting the decarboxylated cannabis plant material or primary extract thereof to [subcritical] CO2”

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The patented process in fact may be performed outside of the U.S.

However, GW’s Epidiolex product is imported into the US

The active pharmaceutical ingredient (API) in Epidiolex is CBD produced by the process

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Canopy seeks damages—generally lost profits, or a “reasonable royalty”

Canopy also asserts “willful infringement” which allows court to increase damages up to three times

Canopy also asks for a declaration of an “exceptional case,” which allows it to recover attorneys’ fees

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Canopy Growth’s complaint against GW Pharmaceuticals for patent infringement available here: drive.google.com/file/d/12P_pkU…

I’ll continue to monitor the docket, and will post additional updates and analysis here.

h/t @khurramnaik for being first to see the complaint