Antitrust | Capital Markets | Finance | Intellectual Property | Litigation/International Arbitration | Mergers & Acquisitions

Litigation/International Arbitration

Our Litigation Group is strongly positioned to counsel and protect healthcare companies in today’s challenging litigation and enforcement environment. Our litigation team has substantial experience in a wide range of areas, including securities litigation, government investigations, criminal law and commercial disputes. We have a long-standing tradition of successfully representing clients in litigation concerning securities. For example, we won dismissal of securities fraud and shareholder derivative complaints against Boston Scientific arising from the company’s recall of certain of its coronary stents and we also represented Elan Corporation, plc in an SEC investigation, securities class actions, shareholder derivative actions and an action involving a contract dispute. Our white collar criminal, regulation and enforcement practice has substantial experience representing corporate and individual clients in criminal and regulatory investigations. We currently represent Datascope Corp., a medical device manufacturer, as a plaintiff in connection with its claims for theft of corporate opportunity, breach of contract and breach of fiduciary duty.

Our International Arbitration practice is universally recognized as one the world’s finest. We have represented companies in all stages of the arbitration process in proceedings under the rules of all major arbitral institutions. Our representation includes pre-contentious negotiations, the conduct of arbitral proceedings, advocacy at trial and the challenge and enforcement of arbitral awards.

Representative Litigation Experience

• Won dismissal of securities fraud and shareholder derivative complaints against Boston Scientific Corporation arising from the company’s recall of certain of its coronary stents, and represent Boston Scientific and its subsidiary Guidant in litigation brought by Johnson & Johnson claiming that Boston Scientifics 2006 acquisition of Guidant violated the terms of an earlier merger agreement between J&J and Guidant.
• Represent Novo Nordisk A/S and Novo Nordisk Inc., world leaders in diabetes care, in their suit against Pfizer Inc. for recovery of legal fees incurred in litigation relating to use of hormone replacement therapies.
• Represented the Special Committee of Board of Directors of HCA Inc. in conjunction with a going-private transaction valued at approximately $33 billion. The firm also provided litigation services in defending and successfully settling purported class action complaints challenging the merger.
• Represented Elan Corporation, plc in an SEC investigation, securities class actions, shareholder derivative actions, and an action involving a contract dispute. We also represent Elan Corporation, plc in a securities class action involving disclosures relating to its multiple sclerosis drug, Tysabri.
• Represented Dynamic Imaging, Inc., a medical device distributor, in a contract dispute.
• Represented Datascope Corp., a medical device manufacturer, as a plaintiff in connection with its claims for theft of corporate opportunity, breach of contract and breach of fiduciary duty. We have also represented the directors of Datascope in securities litigation.
• Represented Merck in multidistrict price fixing litigation brought by retail drugstores in “In re Brand Name Prescription Drug Antitrust Litigation.” The defendants included all of the major brand name pharmaceutical manufacturers. The litigation centered on the different pricing structure to managed care and retail drugstores and involved both price fixing and Robinson Patman claims.
• Represented Sofamor Danek, a spinal implant device manufacturer, in both product liability claims and a security fraud class action. The product claims arose out of alleged off label uses and the securities action was premised on alleged failure to disclose the issues in the product liability suits. The 6th Circuit affirmance of the dismissal of the securities class action is cited as one of the most important disclosure cases.

Representative International Arbitration Experience

• A European pharmaceutical company as claimant in an ICC arbitration in London against its former North American partner. French law applied and English was the language of the arbitration. The dispute concerned the termination of a license and the infringement of intellectual property rights.
• A European pharmaceutical company as claimant in an UNCITRAL arbitration against several European pharmaceutical companies. German law applied and the language of the proceedings was English.
• A European pharmaceutical company in an ICC arbitration in Paris against a European pharmaceutical concern. French law applied and English was the language of the arbitration. The client was claiming damages following the termination of a distributorship contract and settlement was achieved.
• A European pharmaceutical company in two parallel ICC arbitrations in London and Paris against another European pharmaceutical company. English law and French law applied respectively, and the language of both arbitrations was English. The Firm’s client was defending claims brought following the termination of a distributorship agreement and a settlement was obtained.
• A large European pharmaceutical company in an ICC arbitration in Paris against its European distributor. The Firm's client successfully defended claims brought in connection with the non-renewal of a distribution agreement. Portuguese law applied and French was the language of the arbitration.
• A major Asian pharmaceutical company as Respondent in an LCIA arbitration in London against a European company. The dispute arose out of a supply agreement for the production of pharmaceuticals. The applicable law was English law and the language of the proceedings was English. The amount at stake was approximately $US15 million.
• A major European pharmaceutical company as Claimant in an ICC arbitration in London and New York against a North American distribution company. The dispute arose out of worldwide distribution agreements regarding vitamins. The governing laws were the law of England and of the State of New York. The proceedings were conducted in English. The amount at stake was in excess of $US20 million.
• The European subsidiary of a North American pharmaceutical as respondent in an ICC arbitration in Geneva against a European pharmaceutical company. The dispute arose out of a supply agreement for a pharmaceutical product. The dispute is governed by Italian law and the language of the proceedings is English. Over $US4 million is at stake.
• The European subsidiary of a North American pharmaceutical defending an application for interim measures under the ICC Rules for Pre-Arbitral Referee Procedure introduced by a European pharmaceutical company. The dispute arose out of a supply agreement for a pharmaceutical product. On September 27, 2005, i.e., nine weeks after the request was filed by the Claimant, the referee issued an order denying the measures requested against our client. This was the fifth pre-arbitral referee procedure in ICC history and the fourth in which Shearman & Sterling successfully acted as counsel for one of the parties.
• Three Eastern European pharmaceutical companies as claimants in an ICC arbitration in Paris against an Asian pharmaceutical company. The dispute arose out of a joint venture agreement. Chinese law applied and English was the language of the proceedings. The amount at stake was in excess of $US42 million.
• Two European pharmaceutical companies as respondents in a DIS arbitration in Frankfurt against a European pharmaceutical company. The dispute arose out of a sale and purchase agreement. German law applied and English was the language of the arbitration. The amount at stake was in excess of $US240 million. The matter was settled favorably for our clients on the eve of a main expert hearing.
• Two European pharmaceutical companies as respondents in a DIS arbitration in Frankfurt against a European pharmaceutical company. The dispute arose out of a sale and purchase agreement. German law applied and English was the language of the arbitration. The amount at stake was in excess of $US27 million. The matter was settled favorably for our clients on the eve of the evidentiary hearing.