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Federal Appeals Court Rules in Favor of Natera, Holds CareDx Patents Invalid

NEW YORK – The Federal Circuit Court of Appeals affirmed on Monday that three patents that CareDx had asserted against Natera were invalid for the purpose of claiming patent-ineligible subject matter.

CareDx had sued Natera for patent infringement in 2019, claiming that Natera infringed on three patents covering methods of cell-free DNA analysis for noninvasive monitoring of organ transplant rejection.

Although a judge declared the CareDx patents invalid in 2020, a jury later awarded the company $44.9 million in damages related to a lawsuit that CareDx brought against Natera for false advertising related to Natera's transplant rejection test.

"We are pleased that multiple courts have rejected CareDx's baseless claims against Natera's proprietary technology," Daniel Rabinowitz, Natera's chief legal officer, said in a statement.

In a separate statement, a CareDx spokesman said that "CareDx strongly disagrees with today’s Federal Circuit panel decision, which does not impact CareDx’s ability to continue providing AlloSure. CareDx believes in the strength of its licensed IP from Stanford University and is reviewing its options, including presenting this case to the full Federal Circuit for en banc review as well as petitioning the Supreme Court."

In May, Natera sued CareDx alleging it infringed a patent covering Natera’s Panorama noninvasive prenatal testing assay technology within the US.