Medtronic has signed a patent cross-license agreement with San Diego-based Tandem Diabetes Care to avoid potential legal disagreements.
The Dublin company, which operates its diabetes division in Northridge, said the agreement enables both companies to cross-license each other’s patent portfolios, with certain exclusions, to develop future products and services.
Existing products and those introduced over the next five years will apply to the agreement. Terms also include a provision not to clone each another’s products, Medtronic said.
Payments will not be exchanged as part of the agreement; no other terms were disclosed.
Medtronic announced the deal Thursday. Shares of Medtronic (MDT) closed up 68 cents, or less than a percent, to $90.81 on the New York Stock Exchange on Friday, a day when the Dow Jones industrial average was up 1.4 percent.