Gilead Sued Over Unpaid HIV Treatment Royalties

On Wednesday a case was removed to the Northern District of California from San Mateo County state court. The case was originally filed by Royalty Pharma Collection Trust against pharmaceutical company Gilead Sciences, Inc. The case concerns failure to pay royalties.

Emtricitabine, sold as Emtriva, is an antiviral medication used in the treatment of HIV, the complaint explained. According to the plaintiffs, the patent for this product is held by Emory University, who entered into a contract with the plaintiff to collect royalties for this patent from drug companies using it directly or in combination drug cocktails for the treatment of HIV.

The defendant, Gilead, purportedly uses the patent treatment in over ten different drug cocktails. The plaintiff and defendants entered into a contract to pay royalties for the use of this medication, but the plaintiffs state that the contract has been breached and that the defendants have indicated that they will not be remedying the breach.

The plaintiffs are suing for breach of contract, failure to pay royalties, and declaratory judgment. They are represented by Goodwin Procter LLP.  Gilead is represented by Irell & Manella