A new product that’s not “more than colorably different” from an infringing one can trigger a contempt finding even after a default infringement judgment, a split panel of the U.S. Court of Appeals for the Federal Circuit has ruled.
On May 31, the Federal Circuit, in Merial Ltd. v. Cipla Ltd., affirmed a contempt order issued by Judge Clay Land of the Middle District of Georgia. Land held Cipla, an Indian pharmaceutical company, in contempt for violating an injunction and Velcera Inc. in contempt for helping Cipla to violate that injunction. Velcera is a veterinary pharmaceutical company that hired Cipla to develop, manufacture and distribute products.
