Category Archives: Contract Breach

Relmada Therapeutics Sues Laidlaw

Laidlaw is an investment bank that is well-known. In the past, the company served as the primary investment bank for Relmada Therapeutics, a clinical-stage firm that develops therapies for individuals with chronic pain. As the placement agent of Relmada Therapeutics, Laidlaw was responsible for offering financial advice and any other financial help.

In the year 2005, Relmada decided to add more investors to the institution. The clinical company discussed the idea with Laidlaw. To make the plan a success, Laidlaw would organize a road show, engaging in private activities of the companies with its top management about its future prospects and business. At the end of the day, some institutional investors were introduced to the enterprise’s management.
When the activities ended in Summer 2015, the pharmaceutical company said that it was not satisfied with the performance of the investment company. Late in 2015, Laidlaw sent a later to the Securities and Exchange Commission, disclosing very confidential information about the Relmada capital raising activities and the interactions with the potential institutional investors.

The board of directors at the pharmaceutical firm decided to settle the matter amicably to avoid any disruptive or costly fights. The board reached out to Laidlaw for a meeting that was held in December 2015. Matthew Either and James Ahern are the principles of Laidlaw company, and they attended the meeting. After several meetings, the teams did not reach an agreement, and Relmada Therapeutics went to court accusing Laidlaw of breach of contract. The Nevada District Court decided to issue a restraining order to Laidlaw and its principles.

Several months later, Relmada Therapeutics has decided to file a motion to amend the complaints it had lain against the investment banking firm. According to a recent report from the board of directors, the company is also demanding for monetary damages.