Considering recent declines in research grants, the federal scientific workforce, and public access to research, the future of medical innovation is uncertain. However, even before these challenges arose, there were already parts of the system that limited progress.
One problem is that pharmaceutical patents held by large drug manufacturers limit generic drug production. This is because a generic drug maker cannot apply for a generic drug approval if the brand name drug is still patented. The Food and Drug Administration will not approve a generic drug that infringes on an approved brand drug.
One of the issues is that the FDA generally avoids getting involved with drug patents. The FDA publishes the Orange Book, in which it collects all the drugs it approves and their active patents, but these patents are reported by the pharmaceutical companies that hold them. While the FDA will ensure that all patents directly related to the drug or its method of use are published, the agency generally does not check or remove any other reported patents. The FDA’s role in Orange Book patent policing is “purely ministerial.”
This can become a problem because many large pharmaceutical companies do not only patent the active ingredient and method of use of a drug; they usually build patent thickets. These are overlapping patents for the same drug that expire at different times; sometimes more than twenty years after the first patent related to a drug is filed. Pharmaceutical companies reported these additional patents to the FDA alongside the active ingredient and method of use patents.
In the last two years, the Court of Appeals for the Federal Circuit has addressed some of this excessive reporting. In 2023, the Federal Circuit held in Jazz Pharmaceuticals, Inc. v. Avadel CNS Pharmaceuticals, LLC. that only drug and method of use patents, as narrowly defined by patent law, should be listed in the Orange Book. In December 2024, the Federal Circuit held in Teva Branded Pharmaceutical Products R&D, Inc. v. Amneal Pharmaceuticals of New York, LLC. that these drug and method of use patents must specifically claim the active ingredient in the approved drug, and the approved drug product must infringe on the listed patents. A drug product includes the drug substance (active ingredient) and any other substance used to make the finished administrable medicine. In both cases, the court ordered the FDA to delist other patents they listed in the Orange Book.
Overall, if drug developers are limited in the patents that they can list in the Orange Book, then the FDA is less likely to refuse to approve a generic drug because this approval would infringe on a listed patent. This would remove one hurdle to generic drug approval and allow more of these accessible drugs to enter the market. Of course, given the complexity of drug patenting, it is unclear how useful these changes will be.