Elan is being sued by a US drug company in a dispute over royalties due from a joint venture.
Pharma Operating Ltd, a wholly-owned subsidiary of Pharma Marketing, filed a lawsuit in the Supreme Court of the State of New York against Elan and certain of its subsidiaries in connection with a risk-sharing arrangement between the parties pursuant to which Pharma Operating acquired royalty rights to the Sonata product.
The lawsuit seeks a court determination that Pharma Operating's approval would be required in the event of a sale by Elan of its interest in Sonata to a third party.
Elan said in a statement believes the lawsuit is "without merit and intends to vigorously and expeditiously defend against it."
