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Biotech / Medical : Cadus Pharmaceutical Corp. (KDUS) -- Ignore unavailable to you. Want to Upgrade?

To: peter michaelson who wrote (395)	11/9/2000 11:02:07 AM
From: Joe Wesley	Read Replies (2) \| Respond to of 1833

quotes.freerealtime.com Cadus Announces Entry of Order Setting Aside Judgment and Vacating Injunction and Obtaining of Funds Held in Escrow -- 8:09 AM EST NEW YORK, Nov 9, 2000 /PRNewswire via COMTEX/ -- Cadus Pharmaceutical Corporation (OTC Bulletin Board: KDUS) today announced that the U.S. District Court for the Southern District of California entered an order granting final judgment for Cadus in the patent infringement suit filed by SIBIA Neurosciences, Inc. ("SIBIA") (which was acquired by Merck & Co. in 1999). The District Court set aside the $18,000,000 judgment in favor of SIBIA, based on a 1998 jury verdict, and vacated the injunction against Cadus, after the United States Court of Appeals for the Federal Circuit ruled that the claims asserted in SIBIA's U.S. Patent No. 5,401,629 were invalid, and that the District Court erred in denying Cadus' motion for judgment as a matter of law. SIBIA filed suit against Cadus in 1996 and claimed that Cadus infringed the '629 patent, which covers the use of cells, engineered to express any type of cell surface receptor and a reporter gene, used to report results in the screening of compounds against target assays. After trial, in December 1998, the jury issued a verdict in favor of SIBIA and awarded SIBIA $18.0 million in damages. Cadus appealed the jury verdict to the Court of Appeals for the Federal Circuit, which ruled in favor of Cadus on September 6, 2000 and overturned the prior judgment entered by the District Court. Separately, Cadus obtained the release to it from escrow of $19.9 million. In order to stay execution pending appeal of the $18.0 million judgment obtained by SIBIA, in March 1999, Cadus had deposited $18.5 million in escrow to secure payment of the judgment in the event Cadus were to lose the appeal. The $19.9 million represents such $18.5 million plus interest thereon. "The entry of the order and the return of the $19.9 million will finally permit Cadus to focus on the future," said Russell Glass, President and Chief Executive Officer of Cadus. This press release may contain forward-looking statements that involve a number of risks and uncertainties. Important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are set forth in the company's prospectus dated July 17, 1996 or detailed from time to time in filings that the company makes with the Securities and Exchange Commission. These include risks and uncertainties relating to the company's ongoing litigation with SIBIA, including uncertainties regarding the final outcome of the litigation and the re-examination of SIBIA's patent at issue in the litigation, risks and uncertainties relating to the company's ability to realize value from its assets, technological uncertainties regarding the company's technology, rapid technological change, an intensely competitive market, intellectual property rights and general economic conditions. SOURCE Cadus Pharmaceutical Corporation CONTACT: Russell D. Glass, President and Chief Executive Officer of Cadus Pharmaceutical Corporation, 212-702-4315, rglass@sfire.com (KDUS) http://www.prnewswire.com (C) 2000 PR Newswire. All rights reserved. KEYWORD: New York California INDUSTRY KEYWORD: MTC SUBJECT CODE: LAW