Moderna Inc.’s settlement to end a lawsuit over technology used in its Covid-19 vaccine caps its potential exposure at $2.25 billion while teeing up a Federal Circuit fight over whether pandemic-era government contracts can shield drugmakers from patent-infringement claims.
The settlement’s unusual structure reflects both the uncertainty of the jury trial that was set to begin next week and the parties’ shared interest in securing appellate guidance on a government-contractor defense that gained prominence during the Covid-19 pandemic, legal observers said.
Under the deal, Moderna said it will pay $950 million in the third quarter to resolve worldwide litigation with …