Attorneys with Quinn Emanuel Urquhart & Sullivan recently filed a breach-of-contract suit in a Massachusetts state court on behalf of a biotech manufacturer seeking $100 million in damages. The complaint, lodged in Middlesex County Superior Court, represents San Diego-based biotechnology company CorDx and its subsidiaries, Bao Ruiyan Biotech (Beijin) Co., and Core Technology Co. The plaintiffs accuse Genabio Diagnostics and its executive leader, Weike Mo, of failing to uphold an agreement concerning the production and sale of COVID-19 test kits.
The Aug. 14 complaint details how Genabio had granted CorDx exclusive manufacturing rights for their branded COVID-19 testing kits. In return, CorDx was to receive half of all the net profits from kit sales and distribution rights for a third of the tests. The plaintiffs contend that after obtaining regulatory approval from the FDA, Genabio unilaterally attempted to cancel CorDx’s manufacturing and distribution rights. When CorDx refused to accept new, less favorable terms, Genabio allegedly abandoned the agreement and ignored compensation demands.
For more details on this case, refer to the original article on Law.com.