NuVasive and Medtronic have reached agreement on terms for the settlement of patent infringement lawsuits between the companies, as well as the withdrawal from related proceedings in the United States Patent and Trademark Office.
NuVasive is to make a one-time payment of US$45 million to Medtronic, upon which the parties will release each other from any and all liabilities arising out of the litigation.
As part of the settlement and in exchange for the one-time payment, NuVasive and Medtronic also agreed to certain licenses and other rights, including a standstill of patent litigation and a dispute resolution process to address allegations of patent infringement going forward. NuVasive has filed a Current Report on Form 8-K with the Securities and Exchange Commission with additional information regarding the settlement.
“We are very pleased to have negotiated a mutually agreeable settlement that removes the ongoing burden of this litigation and provides for a framework for resolution of potential patent disputes in the future,” said Gregory T. Lucier, chairman and chief executive officer of NuVasive.