G. Hudson
Long/short equity

PharmAthene's Damage Award Will Be Limited To Reliance Damages

The Supreme Court of Delaware made it clear that SIGA (NASDAQ:SIGA) was guilty of negotiating in bad faith per this excerpt from pages 28 and 29 of its May 24th 2013 decision-

"Therefore, we affirm the Vice Chancellor's conclusion that SIGA acted in bad faith when negotiating the license agreement in breach of its contractual obligations under both the Merger Agreement and the Bridge Loan Agreement."

However it is obviously less clear as to the damages that will be awarded as a result of SIGA's failure to negotiate in good faith as anyone can see from the investor debate after my Seeking Alpha article: "SIGA Or PharmAthene: Who Really Won?" and Jeff Eiseman's two Seeking...

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