California, through its University of California system, already holds more patents than any other state, and its profitable arsenal only stands to grow as UC campuses receive stem cell grants in the coming years. Its lawyers play tough. The university wrangled $200 million from Genentech Inc. to settle a patent lawsuit over human growth hormone in 1999, and in 2006 Monsanto Co. agreed to pay it $185 million to settle patent claims on bovine growth hormone. “California is the king of patent litigation,” says IP practitioner Andrew Dhuey. The “sovereign immunity” granted by the Eleventh Amendment to the U.S. Constitution lets states sue for infringement, but protects them from being sued.

This situation really riles Dhuey, who runs a solo law practice in Berkeley. For years, on behalf of his client Biomedical Patent Management Corp., he has been fighting to make California stand on more level legal ground with the bioscience companies with which it deals. Recently Dhuey got one step closer to that goal. The U.S. Supreme Court is considering a writ of certiorari on behalf of Biomedical Patent; the company was denied by lower courts millions in royalties that it says it is owed by California. In April the Court asked the U.S. solicitor general’s office to offer its opinion on the case, a move that many Court watchers say increases the odds that the Court will decide to hear it.

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