Genentech Can't Follow Up Rituxan Alone: Arbitrators

Law360 (June 17, 2009, 12:00 AM EDT) -- An arbitration panel has ordered Genentech Inc. to stop its work on three follow-up drugs to Rituxan, a popular cancer and arthritis drug it developed through a partnership with Biogen Idec, finding that both companies need to have a say in developing such drugs under their agreement.

The arbitration panel ruled that Genentech can't independently develop drugs for neuromyelitis optica, multiple sclerosis and cancer, but can continue developing drugs for rheumatoid arthritis and lupus, Biogen announced Monday. Biogen initiated the arbitration proceeding in 2006, seeking to block development of all five drugs.

The arbitration panel said that a joint development committee...

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