The issue of disclosure is once again front and center in a patent litigation suit. In the US District Court for the District of New Jersey, the identities of the funders of an infringement suit against a Merck & Co. company were revealed.
An LFJ Conversation with Michael Kelley, Partner, Parker Poe
The issue of disclosure is once again front and center in a patent litigation suit. In the US District Court for the District of New Jersey, the identities of the funders of an infringement suit against a Merck & Co. company were revealed.
Reporting by Bloomberg Law details the latest development in Microspherix’s lawsuit against Organon, a Merck & Co. spinoff company, over the infringement of patents for a contraceptive implant. In a court filing on March 15, the plaintiff’s attorneys revealed that it had received funding from Law Finance Group and from a GLS Capital affiliate, Zepata SPV. GLS Capital recently made headlines in another case, after its client Nanoco Technologies reached a $150 million settlement with Samsung Electronics over another patent infringement lawsuit.
The filing also confirmed that Kirkland & Ellis, who are acting for Microspherix, were engaged on a contingency arrangement, and that in 2022 the firm had ‘agreed to share a portion of any proceeds it receives from this matter with LFG and GLS in exchange for a non-recourse payment of a portion of its estimated fees for the matter.’
It is also noteworthy, given recent events, that the court filing explicitly states that ‘none of LFG’s, Zepata’s, or GLS’s approval is necessary or required in any way for litigation decisions or settlement decisions in the action.’
