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SIGA shares were hammered last month when a judge sided with PharmAthene (PIP) in regards to a failed merger years back. Although rebounding slightly to over three dollars, there's been no real move on the stock front, but Siga the company is moving forward to have the judge's decision overturned.

A Bloomberg report last week noted that Siga is asking the Delaware judge to reconsider his verdict that awarded PharmAthene a 50/50 share of future ST-246 profits.

"There is no legal justification for the court to speculate concerning the terms on which the parties might have agreed in the ultimate negotiation,” stated Siga attorney Andre Bouchard in his motion.

With a share price still hovering just a dime or two above three bucks, the market doesn't seem to give the immediate reversal much credence. Asking a judge to say, "I really didn't mean what I said," but it's likely that SIGA has a better chance of an overturn in appeal.

The problem there is that the appeals process won't be settled any time soon.

Meanwhile, PharmAthene has to be pretty happy with its potential new revenue stream.

Fifty percent of ST-246 profits for doing relatively nothing aside from filing lawsuits seems like a pretty good deal for them, but PIP's stagnant share price also doesn't instill much confidence that invstors believe this judge's decision is going to stick over the long run.

For the time being, SIGA has been bouncing around in a ten or twenty percent range, a pretty good area to do some trading. While the long run still looks solid for SIGA shares, however, the short to mid term is going to continue to be dominated by uncertainty and speculation.

I'll tell you what though, this company can't catch a break from anyone, anywhere.

It seems that for every step forward Siga advances, it's getting knocked two paces back. At some point, even the most patient of investors are going to bail out. There's many other companies in the sector that are just as speculative, but have a bit more stability surrounding the company and its share price.

Given the volatility that has engulfed SIGA of late, it might be a wise move to play that volatility and cash out on some trades.

Again, I wouldn't count on this judge changing his mind, but the chances of an overturn on appeal could be decent.

Just when you thought it was over, you can see it's not.

Disclosure: Long SIGA.

Source: Siga Seeks Another Lawsuit Look