ImClone to pay $17.5 million to Abbott in Erbitux settlement

BOSTON ImClone Systems, manufacturer of the cancer drug Erbitux, has agreed to pay Abbott Laboratories $17.5 million to end a patent-infringement lawsuit over the medicine, according to Bloomberg.

The companies said in an Aug. 4 notice to U.S. District Judge Richard Stearns in Boston that they had reached a “confidential settlement.” Stearns put the case on hold so the companies can finish the paperwork on the agreement.

Abbott sued ImClone last year, claiming its patented method for creating antibodies is infringed by Erbitux. In May, ImClone filed a lawsuit accusing Abbott of withholding information that could have been used by ImClone to defend itself against a patent suit by Repligen. ImClone paid $65 million to end that case.

“We have reached an agreement in principle that would conclude all outstanding litigation with ImClone,” said Abbott spokesman Scott Stoffel.