-PMS Shire LLC v. Mickle et al, No. 7:2010cv00434 - Document 153 (W.D. Va. 2011)

Court Description: ORDER denying without prejudice as premature 79 Motion to Dismiss KemPharm's counterclaims by Shire LLC, Shire Phamaceuticals, Inc. and Shire US Inc.; granting 81 Motion to Bifucate and Stay discovery on KemPharm's tortious interference, unfair competition, and Sherman Act counterclaims. Signed by Judge Samuel G. Wilson on 7/15/2011. (eot)

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r2FRK' OFFG U. DI rO l S S. ST. - e ATROANOKE. A . ' V FIED L J 15 2 1 UL 21 I TH E UN I N TED STATES DI STR I C O U R T CT FO R TH E W E STER N DISTRI T O F VI G I A C R NI R O A N O K E DIVISIO N JULI C. A gy : DEP , lGK* cœ SH I E LL C, R C i lA ct on N o.7: cvvi i 10- 00434 Pl ntif ai f , M EM O R AND U M O PI O N NI TI V I C .M I I E,PH . . e a . G S CK , D,t I D ef endant s. By:Sam uelG .W ison l U ni e St e Di t i tJudge t d at s s r c Thi i adi riyaci byShieLLC ($ r') as i ayofa itr i s s vest ton r 1Shie', ubsdir n nenatonal pha c utc c nua e ial ompany,a ns dee nt Ke gai t fnda s mpham,I (( r nc. i KemPham',as le ry r ' mal a l ) phas bi nna utc lc pany,a Tr vi M i kl Ke pha m ' pr s de ,a l gi t t e opha ce i a om nd a s c e, m r s e i nt le ng ha M i kl br a he a e pl e agr e e ,fve as i e a e m e s and a s tl m e c e e c d n m oym nt e m nt i s gnm nt gr e nt , e te nt a e m e bet e n Shie a M i kl ,a t tKem pha m t tous y i e f r w ih t e gr e nt w e r nd c e nd ha r or i l nt r e ed t hes c r t . K e pha a M i kl a we e a fl num e ous c e c a m ss e ng ontac s m nn nd c e ns r d nd ied r ount r l i e ki d caao yj d me t t a M ikeddn tb e c t e ea re n s a t a Ke am v ldy e lrtr u g n s h t c l i o ra h h s g e me t, nd h t mph r ai l ow nst i elec ualpr ry a t he r oft s s t Ke pha m a M i e a s c ai t t he nt l t ope t t he a t hi ui. m r nd ckl l o l m ha publcsae e sby one ofShie sofi e sc tngdoubton t vai t ofKe pha s i t tm nt r ' fc r asi he ldiy m nn' owne s p oft si el cua pr ry c tt e sa ra t ri i e f r nc wih rhi hi nt le t l ope t onsiut d lnde nd o tous nt re e e t pr pe tve busne sadva a a t tt s s a e e s c pl w ih Shi e' flng ofis os c i i s nt ge nd ha he e t t m nt , ou ed t r s ii t a l ge y m e il s c pl i i t s a ton,c tt e unf rc pe ii and vi a i of le dl rte s om a nt n hi c i ons iut ai om tton ol tons -PMS Shire LLC v. Mickle et al Se ton2oft ShemanAc,15U. C.j2. ci he r t S. Doc. 153 Thi m a t ri c r l be or t c ton Shie' m o i t s a a s ve K e pha m ' s te s ur enty f e he our r s ton o t y nd e r m r s t to i e f r nce unf rc petton,a S r a A c c ori us nt r e e , ai om ii nd he m n t ount r l i spur ua t Fe r e c am s nt o de al RulsofCi lPr e e(ç e ' 21a o 42( pe ngt rs utonofShie' b e c of e vi oc dur t s' nd/r b) ndi he e ol i Ru1 ) r s rah Dockets.Justia.com - q , ' c ta tc am s Fr acl er vi w oft pa te ' e di and cai s t c tc i r t on r c l i . om os e e he ris pla ngs l m , he our onsde s he r s uto of Shie s c t ac cl i st be pi al i notdi pos tve ofK e pha m ' a M i kl ' e ol i n r ' on r t a m o vot , f s ii , m r s nd c es c t r am sarsng outoft sa e nt ofShie' ofi r a wel ast i ca mst tShie' oun e cli ii he tt me s r s fce , s l her li ha r s s ti t ha ltgai 'a fndst tt r a esgnii ntefi i i t behad i biu c tng ui s t m ii ton, nd i ha he e r i fca fcences o s ' n f rai t s cai a sa ngdic r o t m.Ac r ngy, s ntt Rul 42( ,heco t he e l ms nd tyi sovey n he codi l purua o e b)t ur gr nt Shie' m o i t biur a e a s ay t s c a s r s ton o f c t nd t he e ount r l i s Addii naly, a e M i kl s e cam . to l bec us c e' s a e a br a oft dipa a m e cl us oft s tl m e tag ee ent a Ke pha m ' l nd r nd e ch he s r ge nt a e he e te n r m , nd m r s sa r coun e cl i s i e t i w ih t ot rbiu c t a s a d c ai s t c ts l nde , t r a m nt rw ne t he he f r a ed nd t ye l m , he our ua s ebiur t a sayst eco e cli sa we1. pont f caes nd t hes unt r am s l1 1. The cour de c i d t f c s o t s c s i s e de ai i ist pr vi o ni ,2 and t s rbe he a t f hi a e n om t l n t wo e ous pi ons t r f eonl brety r count t er e ntt Shie' c r ntmoton.M ikl f me l wor d he e or y i l e s hos elva o r s ure i c e or ry ke asasi ts f Ne Ri rPhar ce i l,I (( ', r heplye ar ei de opi cenit or w ve ma utcas nc.$ NRP' whee ) a d ol n vel ng s ve a pa e s f rt com pa M i kl e ut d a s r e ofag e m e sas i ng hi i t r s s e r l t nt o he ny. c e xec e eis r e nt s gni s neet i t s pae st NIP.Upon be l i a NIP, ikl ha a s e e e i o a e o e n he e tnt o I gim ng t t M c e d l o ntr d nt n mpl ym nt a ee ntwiht compan whih pr de t thewo dr fan fo utlzi Nlp' gr me t he y, c ovi d ha ul e r i r m ii ng t s pr i t r i onna i f hi ow n pe s lbe ft W he M i kl a N lp pa t d w a , he opre a y nf ton or s r ona ne . n c e nd t re ys t y e e e i o a s tl m en ag e m e tt tr a tr e t sdut nt r d nt e te t r e n ha e fi m d hi y. A fe l a ng N R P, i kl i or a ed K e pha m i 2006. M i kl s e nty fl t r e vi M c e nc por t m r n c e ubs que l ied s ve a pa e a i a i ,a as i d hi i e e ti t s a i a i t hi ne c pa e r l t nt pplc tons nd s gne s nt r s n he e pplc tons o s w om ny. I 20 Shie pur ha e N RP,a i 2009,e e e i o ne i tonst pur has Ke pha m a n 07, r c sd nd n nt r d nt gota i o c e m r s ' hieha as mo e t ds s te ecamsp ru n t Rue1 ()6.Be a s teecamsma b rn ee S r s lo v d o imis h s li us a to l 2b( ) c ue h s li y e e d rd m ootde ndi ont r s uto ont unde l ngbrac ofco r c cam s t cour de e t sm oton wihout pe ng he e ol in he ryi e h nta t li ,he t nis hi i t rj dc a p e tr. eu ie s rmaue Se Shr LLC v Mike 2 1WL 8 3 0 ( D. . r 1 , 01 )& 2 1WL 6 7 1 ( D. . b l , e ie . c l, 01 6 5 3 W. Va Ma. 0 2 1 01 0 7 6 W. Va Fe . 1 20 ) 11. wel Thos nego itonswe poory,a Shiebe npublcl tki t posto t tM ikl l. e ta i nt l nd r ga i y a ng he ii n ha c e ha de i K e pha s ne i e l c ualpr pe t f om t N RP pa e s i br c oft d rved m nn' w nt le t o ry r he t nt n ea h he e pl ym e t s tl m e ,a as i e a e m en s l M a c 201 M i elCol Pr s de m o n , e te nt nd s gnm nt gr e t . n r h 0, cha a, e i nt ofShi e Spec aly Pha m a e i l a a m e be ofShie' s ni m a ge e t a , ve a r it r c utca s nd m r r s e or na m nt e m ga pr s n a i n a t Cow e a Co pa H e lhc r Conf r nce i Bos o M as a hus tsw he e e e t to t he n nd m ny a t a e ee n t n, s c e t r he pu i l a blc y nnounc d t tShie be i ve i owned Ke pha spa e s Col r pea e t e ha r le d t m nn' t nt . a e t d he s t nc oft s r m a ksa a J nua y 2011 he t a e c e e i Sa Fr nc s o,Ca ior a ubs a e he e e r t a r alhc r onf r nce n n a i c lf ni . Shie fl d t s s t a l gi t tM i kl de i t s ne pa e sf om t N lp pa e s r ie hi ui, le ng ha c e rved he e w t nt r he t t nt i br c oft e pl e ,s te en ,a as i m e ag e m en s Shie al o alege n ea h he m oym nt etl m t nd s gn nt r e t . r s l d Ke mpha m t tousy i ed M i kl i t br a ngt s c r t .M ikl as e td s r l r ori l nduc c e n o e chi he e ontac s c e s re eve a c u trli s e ig d caaoyj d me t ta h ddn t r a ha o t e ea r e n s a d o n ecams e kn e lrt r u g n s h t e i o b e c ny f h s g e me t, n t tCol ssae e sc tt e sande a br a hed ano dipar ge e ca ei t ha a' t tm nt onsiutd l r nd e c n- s a m nt lus n he stlme ta re n .Ke a c u tr li df rd ca ao yj g n st a iddn t ete n ge me t mph nn o necame o e lrtr ud me t h tt i o t tous y i e f r w ih M i kl ' con r c sand t ti va i y o nst pa e s i ques i n. ori l nt r e e t c e s ta t ha t ldl w he t nt n to 3 Bas d on Col ssa e e a' tt ment a Shie' de sont i tae wha Ke pha m lbesC ha s nd r s cii o niit t m r a l i m s ltga i 'Ke ii ton,' mpha m a s a s re c er li f rsa roftte t ri usi e f r ncewih r lo s e td ount ca ms o lnde il, o to nt re e t pr pec i busne sad nt ge unf r c pe ii n,a unl wf m onopolz ton a a t m pt d os tve i s va a , ai om tto nd a ul i a i nd te e m onopolz ton i vi a i oft She m a Ac . i a i n ol ton he r n t I I. Shieha m ove t sa s r a o biu caeKe pha m ' t tousi e f r e unf i r s d o t y, eve , nd/ r f r t m r s ori ntre enc , ar c ompeii andShe ma Ac c e camsl ret rRul 21or42( ,a g ngt tt y tton, r n t ountr li mde ihe e b) r ui ha he i ve adif r nts toff c s a l li s s t n Shie' br c of c r tcl i s Shie a s nvol fe e e a t nd ega s ue ha r s ea h ontac a m . r lo 3Kempha m a s named t e addii pa tes ShiePha m a utc s I ,Shie US,l ,a Shiepl,a r lo hr e tonal ri , r r ce i al, nc. r nc. nd r c s coun ecl m d e nt. t r ai efnda s not t tt eco t r ai sm a ber nde e m o i Shiepr va l on t t ryi con r c es ha hes un e cl m y e r d ot f r e is he mde l ng ta t c a m s K e pha m ha o li . m r s ppos t m o i a gui biur tng t s s t ofcl i sw ilc us ed he ton, r ng f ca i he e e s am l a e a tona and unnec s r di c r e ns s The c ttndst t g ve t r pi y ddii l es a y s ove y xpe e . our i ha , i n he a dl i rai c nc e sng ompl xiy oft sc e i woul bem o e e tc e ta conve ent a l s co usng e t hi as , t d r fi i n nd ni , nd e s nf i a dp eu ca,ob fr aea sp rt l tyalo b t p ris camsse n fo Coa s n rj diilt iu c t nd e a aey r 1 f oh a t ' li tmmig r m l' e sae e sa Shie' decson t fl t sc s . t tm nt nd r s ii o ie hi a e Rul 4 ( ) o ie t a i to c n e in e t a o dp eu ie o t e pe iea d e 2 b pr vd s h ttl r o v ne c ,o v i rj dc , r o x dt n l e onom i e t c tm a or ra s pa a e t i ofo orm or s pa a e i s ,cl i s c z , he our y de e r t ral ne e e r t s ues a m , co sli , o ne cams o t idp ry cams' lti tei tr s o efce t u iil r scams c u trli , r hr a t li .4 d s h nee t f fiin j dca ' l a nitai n t ti t bec r lngl d rt nze, a he t t wihe oft pa te . 9 dmi sr to ha s o ontoli m e he l r t r han he s s he ri s' A ' ChalsAlnW rg & Arhur R. ilr Fe r lPr tc & Pr e ej2388( e ) <f re a iht t t M le , de a acie oc dur 3d d.. the pa t rquetng spa aeti sEmde Rul 42( qbe r t bur nofs ngt tbiur ain ry e si e r t ral t r e b) a s he de howi ha f c to wo l (1 pr moeg e trc n e e c t tepate , te s s j r r, n t c u t()b ud 4 ) o t rae o v nin e o h ris wi se ,u o s a d he o r,2 e n c n ucv t e p dto a de o o , n ()n trs l i u d ep eu iet a pat ' o d ie o x e iin n c n my a d 3 o eut n n u rj dc o ny ry.' ' Hoga v.Fara Cnt Sc Bd.2008W L 4924692,a *1( D.Va Nov.1 2008)(uotngJ n ifx y. h. , t E. . 3, q i ) & G Scoli M o ee v.BM Com. 1 F. D.385 38 ( . N. 1 r lnc us LLC I , 90 R. , 7 M D. C. 999:.Thecou t r hast i plc ta hor t t lm i di c r a t a s gr ga e i s s a t m i m i e a he m i i ut iy o i t s ove y s o ny e e t d s ues o s o ni z nd de e t os l a pos i y unne es a y di c r pr e ngspe ng r ol i ofpot n i l f r s ty nd s bl c c s r s ove y oc edi ndi es uton e taly 4Re rigted cso t p o e du de Rue21o 4 ()dsrc c ut s o l bfraecamsu d rRul 4 () gadn h e iin o r ce n r l r 2b , itit o rs h ud iuct li n e e 2b , r he t s ve t unde Rul 21 whe t Gaef cualyi eri d,s h t tas r t tilm a be at r han e r hem r e , n hey tr a t l nt lnke uc ha epa ae ra y a o i t ,butfnalr ol i ofone cl i a f ct t r s u i oft o her' Gafnev v.Ri r tSe vs of ppr pr a e l es uton a m f e s he e ol ton he t . ' f ve boa r . l d . n .451F.d4 4, 4 ( t Ci. 0 6 .Th c u t i d t a s v r nc u d rRu e21i n ta p o raei t i n . l c, 3 2 4 2 7 h r 2 0 ) e o r fn s h t e e a e n e l s o p r p it n h s c e a t r s utonofShie' br a ofco r c cai sm a af tt r ol i ofm a ofM ikl a as , s he e ol i r s e ch nta t l m y fec he es uton ny c e nd Ke pha m ' count cli s Se Gafnev, F. a 442.Fore m pl,af t dee m i ton ofwhehe M i e m r s er am . e f 45l 3d t xa e acual tr nai t r ckl br ac d hi c r t w iluli ael a fc t r s u i oft sa r t tousi e fr nce unf i c e he s ontacs l tm t y fe t he e olton he lnde, ori ntre e , ar ompetton, ii a She ma Actcou e cl m sm a i f tbedipostv ofs eoft eco e cl m s.The e o e t c t nd r n ntr ai y n ac s iie om hes untr ai r f r , he our ise de au tswheh rbitc t nu d rRul 4 ()frh r teitrssof o v ne ea de o o , nd n ta v lae te fz ai n e e 2b utes h neet c n e inc n c n my a r o a od peu iet ete p ry. v is rjdc o ih r at dipostvepr lm i r is . Eli on Ti rCo. Gr tN.Ry.Co. 424 F. 497, s ii ei na y s ues' lngs ' mbe v. ea , 2d 499 ( hCi.1 . 4t r 970) M a ofM i e and Kem pha m ' c t r l i sha ltl i c m on w ih Shie' ny ckl r s oun e c a m ve ite n om t r s br a h ofc nta tc am s ohe t t tt y a ebot pa tofal ge ongoi c m m e ca ec o r c l i , t r han ha he r h r ar r ng o r il di put be we t pa te . W hie t r s u i n ofm a oft c s e t en he ri s l he e ol t o ny he ount r l i sm a be a f c e e c am y fe t d b t r s uton oft br c ofc r tc a m s ne t rt f t nort l gali s sunde l ng y he e ol i he ea h ontac l i , ihe he ac s he e s ue r yi t e c ai s a a t be i xt i a y i e t i d. Ke pha m ' s a r t r i i er e e e, hos l m ppe r o ne r c bl nt r w ne m r s l nde , o tous nt f r nc unf i c ar ompetton,a She m a Ac cou e c am s a wel asM ikl ssa ra r lt d ii nd r n t ntr l i , s l c e' l nde nd ea e br a h ofs tl m e agr e e c e c a m s a1 i ve Col s s a e e s a t o he t a e ec e te nt e m nt ount r l i , l nvol a' t t m nt t w alhc r c e e es and que tonsr r ng Shie' i e i i tga i t s ltga i N one o t s onf r nc , si ega di r s nt nt n ns i tng hi ii ton. f he e f t ori s a e m a e i l o pe ha e n r l va ,t t c e i s ofw he he M i e ac s s ues r t r a , r r ps ve e e nt o he or s ues t r ckl br c d t e oyme ,as i ea he he mpl nt sgnme ,o s tlm e a e nt i de l ng t i el t l nt r ete nt gr eme s n ve opi he nt lecua pr t he l t ras i opery a e s gned t K e pha m .The i s r l tng t t s c t r a m s a e o m r s ues e a i o he e oun e cl i r po e i lyco plx, ri ul ry wih r r t Kempham ' m onopolza i cai s a gr a l t ntal m e pa tc a l t ega d o r s i ton l m , nd e ty e nd t s ope oft ltga i r l tve t Shie' orgi c pl i . The c t i t t xpa he c he ii ton e a i o r s i nal om a nt our fnds ha alow i a 1oft e cl i st bepr s t d i a sngl ti woul und y co plc t a c us l ng l hes a m o e en e n i e ral d ul m i a e nd onf e t pr e di , woul f c t pa te t pr e d wih expe i di c r t tma be he oc e ngs and d or e he ris o oc e t nsve s ove y ha y r ende e us l s de ndi on t r s u i oft unde l ng c r c i s . W hie r d e es pe ng he e ol ton he r yi ont a t s ues l K e pha m a g sm uli e r m r r ue tpl ounds o di c f s over w oul l d t a w a t ulduplc ton of y d ea o s ef ia i r our es t c tbele st r s ofs h du i aton i m i m a ,a i gr a l o we ghe es c , he our i ve he i k uc plc i s ni l nd s e ty ut i d by t pot ntalbe isofbiur tng t s cl i sa r s vi t co e di pu e bet e n t he e i neft f ca i he e a m nd e ol ng he r s t w e he pa te -t br ac ofc r c c ai s -i a m o e e fc e a e dii m a r Co e nsof ri s he e h ont a t l m n r f i i nt nd xpe tous nne . nc r fines as fvorbiur ai asa ki aj yt deemi whehe Shie' cai rpr e ar s lo a f c ton, s ng ur o tr ne t r r s l ms e esnt dh m l iain' t h smetmea t ej r i a k dt d cd t me iso tos camsma d a i g to 'a t e a i s h u y s s e o e ie he rt f h e li s t y r s l i p eudc t S r .Alh u hKe h r ag e t a i h sasr n i tr s i q iky e ut n rj ie o hie t o g mp am r u s h tt a to g nee t n uc l r ol ngt diput o rispr pe t rght gi n issausa avul r e sa tup c es vi he s e ve t o ry i s ve t t t s ne abl t r- ompa ny, t c tfnds t tbi u ca i t cl i s a t c tha i ca ed i m or lkel t e die t he our i ha f r tng he a m s he our s ndi t s e i y o xpe t he r ol i oft c t a ,pi t l a pe ha e n dipostve ques i c es uton he en r l vo a , nd r ps ve s ii ton once ni t r ng he i e l c ualpr pe t r g si i s nt le t o ry i ht n s ue. 111 . Fort e r s , he cour gr nt Shie' m o i t bi ur a e a s ay di c r a t hes ea ons t t a s r s ton o f c t nd t s ove y s o Ke pha m ' t tousi e f r nc unf rc petton, She m a A c c er l m s s m r s ori nt r e e e, ai om ii and r n t ount c ai . Addii ly, t co tfndst tK e pha ' s a de c er l m , and M i kl s s a ra tona l he ur i c e' l nde nd ha m nn s l n r ount c ai 6 b e c oft dipa age e c a e oft s tl m e a e m e c t r ai sbas d on Col s r a h he s r m nt l us he e te nt gr e nt oun e cl m e a' sae e t a t t he t r c e e es as i veditnc quesi off tand 1w tt m n s t he wo alhca e onf r nc 7 1o nvol si t tons ac a r l tve t Shie' br c of c r tc a m s a s a s e biur a e a s a di c r ast e a i o r s ea h ontac l i , nd u pont f c t s nd t ys s ove y o t e c ai s hes l m . EN TER :Jul 15,2011. y , ' - UXI STATES DI CT J TED STRI UDGE 5The ea elbee Count I V I ofK e phar ' couner ai . s r a ld s V- I m ms t cl m 6Thi i l l Countl1ofKem pha m ' c e cl m . s s abe ed I r s ount r ai 1The ea elbee Count V andV IofM ikl sc ecl m . s r a ld s c e' ountr ai

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