A Medical Device Daily

American Medical Systems (AMS; Minnetonka, Minnesota) reported that it has entered into a settlement and licensing agreement with Celsion (Columbia, Maryland) and will receive an undisclosed licensing fee and ongoing royalty payments from sales of Celsion's Prolieve product. AMS has agreed to subsequently dismiss the lawsuit it filed against Celsion in the Delaware district court on Sept. 28.

The agreement settles the patent dispute alleging that Celsion's Prolieve Thermodilatation system infringes certain of AMS' patents.

Under the settlement terms Celsion will pay for a license to AMS' patents for the use of microwave energy to treat benign prostatic hyperplasia (BPH) and prostatitis.

"Intellectual property fuels the engine of AMS pelvic health innovation," said Ross Longhini, chief operating officer of AMS, "and we will continue to vigorously protect it when challenged. We are pleased with the agreement we've reached with Celsion, as well as their recognition of its value, and will continue to bring innovative solutions to our physicians and their patients."

In October, Celsion reported that the U.S. District Court for the District of Minnesota dismissed the patent infringement lawsuit filed against it by AMS "for lack of personal jurisdiction" (Medical Device Daily, Oct. 4, 2006). On Sept. 28, AMS filed a new suit against Celsion in the U.S. District Court for the District of Delaware, where both companies are incorporated, alleging that Celsion's Prolieve Thermodilation System infringed the patents previously asserted in the Minnesota suit.

AMS is a supplier of devices and procedures to cure erectile dysfunction, benign prostatic hyperplasia, incontinence, menorrhagia, prolapse and other pelvic disorders.

Celsion develops heat-activated systems to treat cancer.