The resolution follows a September 30 court ruling that validated key patent claims against Liquidia. While the settlement includes mutual releases and carries no admission of liability, it forces a shift in Liquidia’s commercial strategy. The company has moved to strip the pulmonary hypertension associated with interstitial lung disease indication from Yutrepia’s label and will cease promotion for that specific use.

Financial obligations are spread across several tranches. Liquidia will remit a $175 million payment within 30 business days, followed by two $72.7 million installments due in early 2027. Additionally, the company is paying $60.3 million this month to resolve interests linked to separate antitrust litigation concerning Treprostinil Injection. As part of this broader exit, Liquidia has terminated its promotional agreement for the injection and will pull all commercial support for that product.