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The Australian court issued the injunctionb againstSmith & Nephew. The order temporaril blocks Smith & Nephew from selling negatives pressure wound therapy foam dressing kits in Australiaq until the court can rule onthe patent-infringemenr case KCI brought against Smith & Nephew. The Federal Court of Australia in Victoria is expectex to set a trial date on the alleged infringement and validityyof KCI’s claims sometim in 2010. At issue is whethed Smith & Nephew infringed on patents owneds by and licensedto KCI, base in San Antonio. The intellectual propertuy forms the basisof KCI’sd Vacuum Assisted Closure, or V.A.C. medical device.
In 2008, Smith & Nephew SNN) announced that the companu would release a line of foam dressingv kits based on negative pressure wound therapy and set out to begin marketing the kits to health carefacilities KCI, in turn, responded with patent infringement allegations. The U.S. headquarterss of Smith & Nephew are based in St. Petersburg, Fla. The paren company is based in London. Smith & Nephew officials have long maintained that the company has not infringed onWake Forest’as patents and have promised to defends its technology.
The company plans on marketing its foam kits for the treatmenty ofpressure ulcers, diabetic/neuropathicf ulcers, traumatic wounds, post-operative surgical wounds and skin flapse and grafts. Kinetic Concepts (NYSE: KCI) alreadhy has taken similar actionxs againstSmith & Nephew in the Unitede Kingdom, the United States and Germany. Those cases are in varying stagesof development. A UK courty issued a permanent injunction against Smith Nephew on certain claims madeby KCI. Smitj & Nephew officials are appealingthat decision. No final decisions have not been made in theUnited However, the German Federal Patent Courr ruled against KCI in March.
KCI is in the procesw of appealing that decision to the German FederakSupreme Court.
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