Home / Business and Economy / Guardant Health Hit With $245M Patent Judgment
Guardant Health Hit With $245M Patent Judgment
5 Sep
Summary
- Guardant Health ordered to pay $245.2 million in patent dispute.
- Company must pay 6% royalty on 11 products until 2033.
- Guardant plans appeal, claiming technology exclusion for key products.
A US court has ordered Guardant Health to pay more than $245.2 million in a patent infringement case. The judgment upholds a 2023 jury verdict finding the cancer-testing company willfully infringed on two DNA-sequencing patents owned by TwinStrand Biosciences and the University of Washington.
Guardant (NASDAQ:GH) must also pay a 6% royalty on US sales of 11 products covered by the ruling until March 2033. The company has stated its intention to appeal the decision, asserting its disagreement with the outcome. Crucially, current versions of Guardant Reveal and Shield are excluded from the order and associated royalties.
Despite the significant financial penalty, the exclusion of newer product versions offers some mitigation. Investors noted that the judgment amount is now clearly defined, including original and supplemental damages, accrued royalties, and interest. Nevertheless, the disputed technology was reportedly integral to approximately 90% of Guardant's revenue during the infringement period.
