Cosmo Patent for Shire’s Lialda to Be Reviewed by Patent Office

Hedge-fund manager Kyle Bass persuaded the U.S. Patent and Trademark Office to take a second look at a patent that protects Shire Plc’s colitis medicine Lialda from generic competition.

Bass’s Coalition for Affordable Drugs has a “reasonable likelihood” of proving that the patent is invalid, the U.S. Patent and Trademark Office said in a decision posted on its website. A trial will be held with both sides making arguments, and a final decision is expected in 12 months.

The patent, owned by Cosmo Pharmaceuticals SA, expires in 2020, according to the U.S. Food and Drug Administration’s registry of information on approved drugs.

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