- 17 - injunction barring MedChem U.S.A. from using, manufacturing, and selling Amvisc in the United States. Amvisc and Avitene were MedChem U.S.A.’s only products. MedChem U.S.A. faced the possible payment of costly patent infringement damages, multiple damages, and an award of attorney’s fees. The Amvisc injunction caused MedChem U.S.A. to default on $10 million in debt and to lay off a third of its workforce. The Amvisc injunction caused petitioners to postpone indefinitely their plans to construct an Avitene manufacturing facility in Puerto Rico. Petitioners took several steps regarding Avitene in early 1990, following the Amvisc injunction. First, in connection with suspending their plans to construct the manufacturing facility in Puerto Rico, they notified Unipro to stop its work on that facility. Second, in February 1990, MedChem P.R. wrote off for financial accounting and tax purposes all of the capitalized expenditures ($881,966) relating to the proposed facility. Third, MedChem P.R. closed its Humacao office and terminated the workers there (Mr. Perez and Wanda Rodriguez). In connection therewith, Mr. Perez transferred to Alcon P.R. all of the records as to suppliers and vendors which had been kept in the Humacao office, and he transferred to MedChem U.S.A.’s Woburn facility all of the other records which had been kept in the office, including records relating to the design and construction of MedChem P.R.’s proposed facility in Puerto Rico. Fourth,Page: Previous 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 Next
Last modified: May 25, 2011