Nicolas
Nicolas Demery
Group B
To: Mark James (BioCell CEO)
From: Nicolas Demery
Date:05/13/13
Re: Contract
Mark,
I’m writing to you this morning regarding our contract with Nippon BigPharma. There is now three years ago that Nippon Big Pharma purchased our IMMUVAX product and the pivotal phase 3 human clinical trials are still not enrolled. According to our last report the process is only half completed. The main issue for us is that the revenue we expected is going to be significantly delayed.
There is one month ago, we learned that Nippon Big Pharma has bought the entire stock of one product similar to IMMUVAX but with better technology from a small company whose name is Private bio. This product calls CANCER 01 and is also in pivotal phase 3 human clinical trials. We really suspect that Nippon Big Pharma had enrolled more patients in those Cancer 01 clinical trials than our product because the company expects more profit and own 100% of net profit.
What are our options?
Does Nippon NigPharma can be accused to not have been commercially reasonable?
What are the parts of the contract we can use?
Solution / Recommendation
I think Nippon Big Pharma would not counter that it has not been commercially reasonable in preferring advance the CANCER 01 product which represents better technology and profit. However they should have informed us.
As it is written in the contract, we should first have a meeting with the CEO and the manager of BioCell in order to negotiate more profit and attention to our product. The best solution for us would be to claim damages. If we don’t have a possible agreement after that we will try to solve the problem by formal mediation. If no resolution is reached in mediation, the dispute will be resolved by binding arbitration before one arbiter.
Group B
To: Mark James (BioCell CEO)
From: Nicolas Demery
Date:05/13/13
Re: Contract
Mark,
I’m writing to you this morning regarding our contract with Nippon BigPharma. There is now three years ago that Nippon Big Pharma purchased our IMMUVAX product and the pivotal phase 3 human clinical trials are still not enrolled. According to our last report the process is only half completed. The main issue for us is that the revenue we expected is going to be significantly delayed.
There is one month ago, we learned that Nippon Big Pharma has bought the entire stock of one product similar to IMMUVAX but with better technology from a small company whose name is Private bio. This product calls CANCER 01 and is also in pivotal phase 3 human clinical trials. We really suspect that Nippon Big Pharma had enrolled more patients in those Cancer 01 clinical trials than our product because the company expects more profit and own 100% of net profit.
What are our options?
Does Nippon NigPharma can be accused to not have been commercially reasonable?
What are the parts of the contract we can use?
Solution / Recommendation
I think Nippon Big Pharma would not counter that it has not been commercially reasonable in preferring advance the CANCER 01 product which represents better technology and profit. However they should have informed us.
As it is written in the contract, we should first have a meeting with the CEO and the manager of BioCell in order to negotiate more profit and attention to our product. The best solution for us would be to claim damages. If we don’t have a possible agreement after that we will try to solve the problem by formal mediation. If no resolution is reached in mediation, the dispute will be resolved by binding arbitration before one arbiter.