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STEVE INSKEEP, HOST:
We have the story this morning of a patent - a very, very lucrative1 patent.
DAVID GREENE, HOST:
It is for a tool called CRISPR. Sounds like a kitchen instrument, doesn't it? But it's actually a high-tech2 gene-editing tool.
INSKEEP: Which is worth billions of dollars. And the U.S. Patent Office has delivered a potentially lucrative victory to the Broad Institute in Massachusetts. NPR's Richard Harris reports.
RICHARD HARRIS, BYLINE3: CRISPR is shaping up to play a big role in medicine and medical research because it can edit DNA4 with unprecedented5 accuracy. Who has the right to profit from the technology? Yesterday, the U.S. Patent and Trademark6 Office said patents issued to the Broad Institute, and then challenged by UC Berkeley, are in fact valid7.
JACOB SHERKOW: It's a pretty monumental decision here.
HARRIS: Jake Sherkow is an associate professor at the New York Law School. He's been tracking the dispute closely.
SHERKOW: It seems to reward the most valuable aspects of CRISPR to the Broad Institute over the University of California, Berkeley.
HARRIS: The proceedings8 aren't entirely9 settled, but as Sherkow sees the situation, the Broad Institute - a joint10 venture of Harvard and MIT - will hold a patent for using CRISPR in human beings, other animals and plants. His view is that Berkeley's patent, which has not yet been issued, could be limited to bacteria.
SHERKOW: Obviously, the patents covering the application of this technology to human cells, those are going to be much more financially valuable than using the same technology in bacteria because one can develop drugs and other therapies from them.
HARRIS: Investors11 agreed with this assessment12. The value of companies that were spun13 off to license14 the Broad patents rose sharply while the company based on the Berkeley patent lost value. And potentially tens of billions of dollars are at stake here, both for the companies and the universities. Jennifer Doudna at UC Berkeley discovered the biology that underlies15 this technology along with a European colleague, Emmanuelle Charpentier. Doudna isn't convinced that Berkeley is the big loser here. She said the ruling paves the way for her patent application to move forward.
JENNIFER DOUDNA: So we're looking forward to having our patent issued. And, you know, our patent is a very broad patent that covers the composition and the use of this technology in all cell types.
HARRIS: If the patent office rules the way Doudna hopes it will, people wanting to use the CRISPR technology in higher organisms will have to get licenses16 from both Berkeley and the Broad Institute.
DOUDNA: That's the thing that I think is a bit crazy about the way that the decision comes down is that that's where it leaves the field is this sort of situation where a license would be necessary from both parties. There's not further clarity at this stage.
HARRIS: Another possibility - Berkeley could appeal yesterday's ruling and once again challenge the Broad Institute's patents. Doudna says the university hasn't decided17 what to do just yet. Richard Harris, NPR News.
(SOUNDBITE OF BERRY WEIGHT'S "YETI'S LAMENT")
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