Japan high court favours DSP in quinolone case
This article was originally published in Scrip
Dainippon Sumitomo Pharma (DSP) has won the latest round in a legal battle with fellow Japanese company Wakunaga Pharmaceutical over a terminated 1998 licensing deal for a quinolone antibacterial.
In a new ruling on a DSP appeal, the Osaka High Court overturned an earlier decision by the city's district court and rejected all of Wakunaga's claims in the long-running affair.
Wakunaga, a small Osaka-based manufacturer of prescription, consumer health and diagnostic products, first filed suit in 2004, following a 2002 decision by then Dainippon to discontinue the compound and end the agreement. Dainippon merged with Sumitomo Pharma in 2005.
The plaintiff sought damages and compensation of ¥5 billion ($51 million), out of a total of ¥9 billion in alleged losses from what it saw as the improper cancellation of the exclusive deal. In 2007, the district court upheld some of Wakunaga's claims, ordering DSP to pay ¥890 million and prompting the High Court appeal.
Wakunaga said it would consider the details of the new judgement before deciding on any further action.