On June 4, 2026, a unanimous Supreme Court held in Hikma Pharmaceuticals USA Inc. v. Amarin Pharma, Inc., 146 S.Ct. 1391 (2026) (“Opinion”), that a brand-name manufacturer had failed to sufficiently plead its claim that a generic competitor actively induced infringement of its patented method of use. The decision addresses a recurring question: when do a generic manufacturer’s public statements about a “skinny label” drug cross the line from permissible competition into active inducement of infringement under 35 U.S.C. § 271(b)?
Procedural and Factual Background
Amarin sells Vascepa®, “an ethyl ester of an omega-3 fatty acid” that is FDA approved to treat severe hypertriglyceridemia (“SH”), where triglycerides are above 500 mg/dl. Amarin Pharma, Inc. v. Hikma Pharm. USA Inc., 104 F.4th 1370, 1372 (Fed. Cir. 2024). Following approval of the SH indication, Amarin also gained approval to use Vascepa® to reduce cardiovascular risk in those with triglycerides above 150 mg/dl (“CV”). Id. The CV indication quickly constituted over 75% of Vascepa®’s sales. Id. at 1374. Amarin obtained method-of-use patents covering the CV indication.
Hikma sells a generic version of Vascepa® using a “skinny label” that carves out the patented CV indication. Id. at 1373. During the lead-up to and launch of the generic, Hikma repeatedly referred to it as “the generic equivalent to Vascepa®” and an “AB rated” generic. Id. at 1373-74. Hikma advertised the generic on its website as treating “hypertriglyceridemia,” a term potentially broad enough to include both the patented CV use and the non-patented SH use. Id. at 1374, 1379. Hikma stated that its drug was indicated “in part” for the treatment of SH, although SH was, in fact, the only indication on the skinny label. And Hikma only stated in “small lettering” on its website that its drug is “indicated for fewer than all approved indications of the Reference Listed Drug.” Id. at 1373-74. Further, in press releases, Hikma referenced sales figures that included sales for the patented CV indication.
Amarin sued Hikma in the District of Delaware, alleging that the totality of Hikma’s statements—across its label, patient information leaflet, website, and press releases—induced others to infringe the patents covering the CV indication. The District Court dismissed the complaint for failure to state a claim. The Federal Circuit reversed, finding it “at least plausible that a physician could read” the statements as an encouragement to infringe. The Federal Circuit noted that “unlike any of our other [skinny label]-related decisions, this case does not reach … appeal from a post-trial motion,” but rather is an appeal of a “motion to dismiss,” the “most nascent stage” of litigation. Id. at 1377. The Federal Circuit found this posture important because, “at this stage,” Amarin had not “had the benefit of fact discovery and expert testimony” so the district court had to accept Amarin’s factual allegations as true, such as whether physicians understood Hikma’s use of the phrase “hypertriglyceridemia” as “broad enough to encompass both infringing and non-infringing uses.” Id. at 1379. The Supreme Court granted certiorari.
The Opinion of the Court
In a unanimous decision, the Supreme Court reversed the Federal Circuit and found that Amarin had failed to plead factual allegations that, if true, would plausibly show Hikma actively encouraged infringing uses. Opinion at 1396. The Court stated that it was combining the “well-established federal pleading standards” with the “case law defining ‘active steps’” to establish “the boundaries of a plausible induced-infringement claim.” Id. at 1399-1400. In doing so, the Court provided a set of guiding principles.
First, it emphasized that inducement must be based on affirmative actions as opposed to passive “omissions” or “inactions” and the audience’s potential understanding of that passivity. For example, the Court stated that even if “some medical providers could read between the lines and draw improper conclusions from the skinny label’s omission of the CV Limitation of Use and the press releases’ failure to mention that [Hikma’s] approved use was limited to the far-lesser-known SH indication,” that would be insufficient, because inducement requires “affirmative ‘statements or actions.’” Id. at 1402 (emphasis in original). It further critiqued the decision in GlaxoSmithKline LLC v. Teva Pharms. USA, Inc., 7 F.4th 1320 (Fed. Cir. 2021) for substituting the question of “whether a defendant actively encouraged infringement through its statements” with the question of “how others may understand those statements.” Id. at 1400, n. 3.
Second, it rejected Hikma’s argument that inducement had to be “express” and recognized that affirmative inducement can be “implicit,” such as using a “suggestiv[e] name,” such as using product names that encourage users to conduct infringing activity. Id. at 1401 (citing Metro-Goldwyn-Mayer Studios Inc. v. Grokster, Ltd., 545 U.S. 913, 937-38 (2005)).
Third, the Court appeared to grant a semi-safe harbor to statements that are “just complying with the law or with standard industry practice,” noting that otherwise they would be “put[ting] generic manufacturers between a rock and a hard place by turning adherence to the law and industry standards into building blocks for illegal conduct.” Id. For example, the Court stated that Hikma’s label cannot support inducement, because the content of the generic drug’s label is dictated by federal law. Id. As to “complying with … standard industry practice,” the Court only gave the example of referring to a drug as “generic Vascepa” or a “generic equivalent of Vascepa.” Id.
The Court then looked at the remaining affirmative statements that Amarin identified as showing inducement (e.g., indicating the generic can be used for “hypertriglyceridemia,” indicating that the generic is “AB rated,” and publicly touting sales figures for the generic that included the patented indication) and determined that these were too “vague” to make out a plausible allegation of active steps to induce infringement. Id. at 1402-03.
Discussion
First, the Supreme Court leaves a number of open questions. How does the statement that you must “rule out obvious alternative explanations for the defendant’s conduct” at the pleading stage mesh with the Supreme Court’s acknowledgement that inducement can be based on “implicit” statements, like the “suggestive name” of a product? Id. at 1399-1401. How do you determine whether a statement is “just complying … with standard industry practice” and does that include any other statements beyond just calling your product a “generic” of another drug? Id. at 1401. As to statements that are “standard industry practice,” is the standard that they cannot be the only evidence of inducement or that the statements cannot be used as evidence at all (i.e., as part of the “building blocks” of inducement allegations)? Id. How “vague” of a statement is too “vague” to be plausible evidence of active inducement? Id. at 1402-03.
Second, it is unclear whether this case represents a shift regarding indirect inducement liability generally or whether this case will be cabined to the context of generic pharmaceuticals or skinny-labels. In support of the latter, some might note that the Opinion explains the surrounding context of skinny-label regulation and automatic substitution laws at length (Id. at 1396-98), that the Opinion bases the decision in part on the “standard industry practice” for generic pharmaceuticals (Id. at 1401), or the fact that prior cases, the parties’ briefs, the amici, and the oral argument before the Supreme Court all focused on the “careful balance struck by the Hatch-Waxman Act.” See, e.g., GlaxoSmithKline LLC v. Teva Pharms. USA, Inc., 7 F.4th 1320, 1326, 1343-44 (Fed. Cir. 2021).
Third, as the Federal Circuit noted, perhaps the most unique and important aspect of this case is that, unlike prior skinny-label inducement cases, this Opinion is about the pleading standard rather than the ultimate merits standard. The Court did not decide whether Hikma in fact induced infringement, but only whether Amarin’s complaint sufficiently pled induced infringement based on the limited set public materials available to it. This suggests a high bar, especially in the context of pharmaceutical-related cases when the most relevant information (e.g., the ANDA application) is not publicly available. Notably, Amarin was allowed to conduct discovery while the Supreme Court case was pending and told the Supreme Court during argument that it had found “substantial new evidence of Hikma’s intent to infringe.” Transcript of Oral Argument at 58:11-24, No. 24-889 (“Tr.”) (U.S. Apr. 29, 2026). But Hikma argued that, on remand, Amarin cannot amend its complaint to include that information, which the Opinion does not address. Id. at 64:13-20.
As a practical matter, skinny-label generics are still not safe from induced infringement lawsuits, as the Court acknowledged that even implicit, affirmative statements could support the initiation of a suit. Opinion at 1400-01. But brand manufacturers will need to be prepared to spend additional resources during pre-suit investigations to gather evidence that skinny-label generics are affirmatively pushing their drugs for carved-out uses.
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Adam Burstain, Associate
Nicola Felice, Partner
nicolafelice@quinnemanuel.com