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Covidien loses $58m patent case

NEW YORK (Bloomberg) — Becton, Dickinson & Co. was awarded $58.4 million by a federal judge in a patent case against a Tyco International Ltd. spin-off, and won an injunction blocking the sales of infringing hypodermic needle safety shields.

A jury in Wilmington, Delaware, last year ruled that Bermuda-based Covidien Ltd.'s Tyco Healthcare Group LP infringed Becton's patent, and Chief US District Judge Gregory Sleet today released a final accounting of the damages, including interest.

"While we respect the judge's decision, we do plan to appeal the ruling as we do not think we infringed on Becton, Dickinson's intellectual property," said Covidien spokesman Bruce Farmer in a phone interview.

Mansfield, Massachusetts-headquartered Covidien reported a $342 million net loss last year on $10.1 billion in sales. In June 2007, Bermuda-based Tyco International split into three public companies, including Covidien, Tyco Electronics and Tyco International Ltd.

"We're very pleased with this decision upholding the integrity of our intellectual property," Becton spokeswoman Colleen White said in a phone interview.

"Becton, Dickinson has lost market share to Tyco as a result of Tyco's sales" of the infringing products, and has also lost customer accounts, Sleet said in his ruling.

The needle-shield invention is used with one hand, and slides forward after needle use to cover the tip and avoid accidental "sticks" that might transmit AIDS or hepatitis through the blood to medical workers.

Franklin Lakes, New Jersey based Becton is the world's largest supplier of hypodermic syringes.