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Wednesday, April 29, 2026

Federal Circuit Upholds Immediate Deduction of Patent Litigation Costs for Generic Drugmakers

Actavis Laboratories secures key tax ruling affirming deductibility of Hatch-Waxman patent litigation expenses tied to ANDA filings

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Federal Circuit Upholds Immediate Deduction of Patent Litigation Costs for Generic Drugmakers
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The U.S. Court of Appeals for the Federal Circuit has affirmed that generic drug manufacturers may immediately deduct patent litigation expenses incurred in connection with Abbreviated New Drug Application (ANDA) filings under the Hatch-Waxman Act. The decision, favoring Actavis Laboratories, clarifies that such litig…
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