The US Court of Appeals for the Third Circuit limits the FTC’s ability to seek damages for past conduct in a pharmaceutical patent abuse case (Shire Viropharma)

In Short The Situation: The United States Court of Appeals for the Third Circuit ruled that the FTC could not recover past profits under FTC Act Section 13(b) if the alleged violation occurred in the past and the defendant was not "violating" or "about to violate" the law. The Impact: The FTC's pursuit of monetary remedies in antitrust cases, in amounts as high as $1.2 billion in one case, has been controversial. If followed in other circuits, this decision would severely limit the FTC's ability to collect monetary remedies for ceased conduct that violated the antitrust laws. Looking Ahead: While the FTC could seek a more favorable result in another jurisdiction, the FTC may want to avoid risk of similar precedent, limit use of Section 13(b) to cases involving ongoing harm, and push