Galway Covid vaccine company seeks to restrain supplier from Nigerian approach

1492 Pharma alleges breach of non-disclosure agreement

A Galway-based Covid-19 vaccine distribution company is seeking High Court orders that would restrain a supplier from approaching the Nigerian government about vaccine distribution.

The action has been brought by 1492 Pharma SCL Limited, which alleges vaccine producer and supplier Via Medica International Healthcare LLC, which is registered in the United Arab Emirates, breached a non-disclosure (NDA) agreement entered into when they had discussions about potentially working together to deliver a programme.

Based at Upper Newcastle, 1492 Pharma began trading in 2020 with a special focus on the supply of personal protective equipment and Covid-19 vaccines to developing countries.

The company’s counsel, Andrew Fitzpatrick SC, instructed by Byrne Wallace solicitors, said various confidential disclosures about operational matters and proposals with the Nigerian government were made to Via Medica during the course of negotiations.

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The court heard 1492 Pharma had made a proposal to the Nigerian government in August 2021 for the delivery of a 160-million-dose vaccination programme.

In a sworn statement to the court, one of 1492 Pharma’s directors, Seamus McCauley, said that after the proposals had been deemed generally acceptable to the Nigerian government, the company issued a letter of intent to purchase 200 million vaccine doses from UAE-based G42 Medications Trading LLC.

It also approached Via Medica to explore the possibility of contracting their vaccination staff and logistical support service, he said.

In November 2021 it and the defendant allegedly signed an NDA agreement, enforceable by the Irish courts, to keep certain information obtained during the court of negotiations confidential.

The engagement also developed into a potential sale of shares in Via Medica to 1492 Pharma for $62 million (€57 million), and a share purchase agreement was entered in January of this year, he said. This sale did not proceed, and Mr McCauley claimed the relationship between the parties has “deteriorated markedly” over the last 10 days.

Mr Fitzpatrick told the court that Via Medica allegedly subsequently approached the Nigerian Ministry for Health with proposals that bear a “remarkable similarity” to what 1492 had proposed. He submitted that the defendant used the information disclosed to “strike out on its own” with a pitch to the Nigerian government.

Enforceable

Mr Fitzpatrick noted that the United Arab Emirates does not consider injunctive relief made on an ex-parte basis (where only the plaintiff is in the court) to be enforceable in its jurisdiction.

However, he said there would be an expectation that such orders would be honoured.

The case came before Mr Justice Senan Allen on Friday. He granted permission, ex-parte, for the applicant to serve short notice of the injunction proceedings on the company outside of the jurisdiction.

He refused the various temporary injunctive orders sought, as he said the court “should not make an order it has no means of enforcing”.

The plaintiff can seek these orders when the case returns before the court later this month, he said.

The company intends to ask the court to grant an order that would temporarily restrain the defendant firm from disclosing or exploiting what it says is confidential information obtained from it and is covered by the NDA. It also wants an interlocutory order preventing the firm from contacting the Nigerian government in relation to the provision of Covid-19 vaccines.

It appeared to the judge that the plaintiff had established a “good argument case” on a prima facie basis, but he was not prepared to say it had a strong case. The court required further information about various matters, including the nature of the shared purchase agreement and its breakdown, he said.

Ellen O'Riordan

Ellen O'Riordan

Ellen O'Riordan is an Irish Times reporter