Earlier today Simpson Thacher obtained a preliminary injunction on behalf of Biosynexus, to stop its joint venture partner, Glaxo Group Limited (a GlaxoSmithKline affiliate), from transferring to one of Biosynexus's competitors, Glaxo Group's interests in a technology that has shown early promise in preventing staph infections. Biosynexus developed the promising technology to prevent Staphylococcus aureus infections (better known as staph infections). The Staphylococcus aureus bacteria causes everything from pimples to pneumonia and infects an estimated 500,000 Americans a year.
Biosynexus entered into an agreement with defendant Glaxo Group to develop and use its patented technology. After Glaxo Group struggled to produce usable quantities of monoclonal anti-body product, the company entered into an agreement with a Biosynexus competitor, MedImmune, to produce the anti-body product. Biosynexus sought an injunction on the grounds that the agreement between Glaxo Group and MedImmune violated the anti-assignment provisions of Biosynexus's agreement with Glaxo Group and that Glaxo Group breached its fiduciary duty as a joint-venture partner by, among other things, assigning its interest to MedImmune without consent. Biosynexus also stated a cause of action against MedImmune for tortiously interfering with the Biosynexus/Glaxo Group relationship.
In granting a preliminary injunction against Glaxo Group and MedImmune, New York Supreme Court Justice Bernard J. Fried held that "Biosynexus is likely to succeed in proving that [GlaxoSmithKline, the joint-venture partner] breached its fiduciary duty by assigning its interest in the . . . technology and development program and that such an assignment was in violation of the anti-assignment provision of" the pertinent agreement.
Simpson Thacher attorneys who represent Biosynexus in the matter include Barry R. Ostrager, Robert A. Bourque, Noah M. Leibowitz, Marcia Griffith, John Anderson and Mindy Lok.
Click here to see a copy of Justice Fried's decision in Biosynexus, Inc. v. Glaxo Group Limited.