Supreme Court Denies RJ Reynolds Petition for Review in Star Scientific Patent Infringement Lawsuit

A reader notified me over the weekend, that briefs were filed and distributed on March 6, 2009 in RJ Reynolds' writ of certiorari with the U.S. Supreme Court in the Star Scientific v. RJ Reynolds case.  The following is the Court's quick reply as presented in a Star Scientific press release available at redOrbit:

Star Scientific, Inc. (Nasdaq: STSI) announced that the United States Supreme Court today denied the petition for a writ of certiorari filed with the Court by RJ Reynolds Tobacco Company (RJR). RJR had filed its petition for review on January 16, 2009 as part of its defense of the patent infringement lawsuits filed by Star Scientific, Inc. against RJR in 2001 and 2002.

The Supreme Court petition arose from a bench trial that was held in February, 2005 on RJR's defense claim of inequitable conduct. Shortly before that trial began, RJR also was permitted by the District Court to file a summary judgment motion on definiteness. Two years later, in January, 2007, the district court issued a ruling that granted RJR's summary judgment motion. On June 26, 2007, the district court ruled that Star committed inequitable conduct in the prosecution of its patents. Star immediately filed an appeal with the US Court of Appeals for the Federal Circuit. On August 25, 2008, the Federal Circuit issued a unanimous decision reversing the lower court's ruling on inequitable conduct. It also reversed the district court's grant of summary judgment which held Star's patents indefinite. The Supreme Court's denial of RJR's petition terminates the process through which RJR can appeal the Federal Circuit's decision in favor of Star.

The case has been remanded to the US District Court of Maryland for further proceedings, including a jury trial.The Honorable Marvin Garbis will oversee the jury trial. The company looks forward to presenting the facts of its case to a jury at trial this Spring.

The same reader posed several questions that I paraphrase below:

1. Is there anything that RJR can do at this point to delay the jury trial set for the April/May time frame?
2. Given the facts in the case are patent infringement and willfulness hard to prove?
3. Will RJR's board, realizing that the company now faces a jury trial in which they are at risk for substantial damages, pursue other options? If so, what are they?

If you care to weigh in on any of these questions, please post a comment.