Is it a future trend that all disputes will end up in federal courts? One thing for sure, is that we have an international, global market. United States federal, district courts settles matters in diversity jurisdiction where parties reside in different states, or non-U.S. residents.
The moving party bringing the civil lawsuit is called the plaintiff, and the opposing party defending the suit is called the defendant. Plaintiff Relmada Therapeutics brought suit against Laidlaw—an established investment bank, the defendant. Laidlaw is also a securities brokerage firm for homeland and international companies, as well as a distinguished clientele in the private sector.
The suit was filed in the U.S. District Court for the District of Nevada, and as the case progressed, Relmada Therapeutics filed an amended complaint. Relmada contracted with Laidlaw as its investment banker. Within this partnership private and confidential information was shared. The complaint was amended because Relmada wanted to cite more legal violations in regards to breach of fiduciary duty. Relmada avowed that Laidlaw circulated privileged information. Information that was only supplied to Laidlaw, because of confidentially agreements afforded to Laidlaw as a secured investment banker.
It is no surprise that Relmada wants damages from it losses, financial capital Relmada lost because of Laidlaw’s false and misleading proxy material published, dated December 10, 2015. A temporary restraining order and an associated injunction were issued by the Nevada courts against Laidlaw and its principals, Matthew Eitner and James Ahern on account of these misdoings. It shows that Relmada Therapeutics had a valid gripe for Laidlaw’s deceptive scheme of an unauthentic take over.
The Relmada Board members are distress, and want to be compensated; they suffered a hindrance in business. Furthermore, they wanted assurances Laidlaw will not do it again. The situation got so bad that a letter had to be written to the Relmada stockholders. Consequently, in January of 2016, a letter addressing the disparaged issues concerning Laidlaw and Principals, Matthew Eitner and James Ahern went out to stockholders.
The letter, disheartening as it was, did have some encouraging highlights. The optimistic news did alleviate some of the negativity associated with Laidlaw’s disloyalty. For Relmada, good results from the BuTab study were confirmed. The d-Methadone for neuropathic pain study was agreeable. And lastly, James Dolan was appointed pharmaceutical industry leader. All very exciting and wonderful reports; and the good news does compensate to the stockholder that despite the Laidlaw pitfalls, Relmada will carry-on proudly.