• Supreme Court Affirms Liability of SIGA Technologies to Pharmathene Based on Failure to Negotiate in Good Faith
  • June 13, 2013
  • Law Firm: Eckert Seamans Cherin Mellott LLC - Pittsburgh Office
  • The Delaware Supreme Court recently ruled in the case of SIGA Technologies, Inc. v. PharmAthene, Inc., Del. Supr., No. 314, 2012 (May 24, 2013), that a mere agreement to negotiate in good faith in accordance with a term sheet can be an enforceable obligation. Delaware’s high court explained that such a breach can make one subject to expectation damages if the record supports a finding that an agreement would have been reached but for the defendant’s bad faith negotiations. This aspect of the trial court’s 117-page decision was upheld, but Delaware’s high court reversed and remanded the damages award to reconsider damages in light of this opinion.