Neovasc Inc (US) (NASDAQ:NVCN) has provided an update about its ongoing litigation, filed by CardiAQ. The later had filed a lawsuit against the former, in the district court of Massachusetts in 2014. The jury had passed a ruling in May 2016, in favor of CardiAQ, but the final decision from the judge was pending. On November 1, the company announced that the judge, Allison D. Burroughs, has ruled in favor of CardiAQ as well, awarding it the inventorship for Neovasc’s patent 964.
The company further stated that the judge blocked a motion by CardiAQ, to shutdown the development of Tiara. As such, Neovasc was awarded the rights to develop and market the drug, but it would not be allowed to pursue a new trial. Furthermore, the judge also upheld the jury’s decision to ask NVCN to pay $70 million, while also adding $21 million in enhanced damages.
The CEO of the company, Alexei Marko, expressed his disappointment at the decision, but he also claimed that this affirmed NVCN’s rights to develop Tiara and treat patients through this technology. He further expressed his pleasure at the results from the program, so far and reaffirmed their commitment to implant the technology in suitable patients, with the help of selective centers. This is being done under the Tiara-I early feasibility trial and compassionate use programs.
Neovasc has stated that once the court has completed the entry of judgment, it plans to appeal against the validity of the award and ruling on inventorship of the technology, which it believes will take up to a year to complete. Meanwhile, NVCN has presentations scheduled, at the annual Trancatheter Cardiovascular Therapeutics symposium, being held in Washington D.C. The event is the largest educational meeting, in the world, which focuses on interventional cardiovascular medicine. The symposium is scheduled to be held between October 29 to November 2, 2016. NVCN is being represented by Dr. Anson Cheung, who would provide an update from the Tiara program, during the symposium, on October 31.
Neovasc Inc (US) (NASDAQ:NVCN) lost 37.86% of its share value, on a trade volume of 14.13 million, to close at $0.64 per share, at the end of the November 1 trading session.