Vienna, 15.02.2022. Since 2017, PharmaEssentia had repeatedly attempted to terminate the agreement with AOP concerning BESREMi® (Ropeginterferon alfa-2b). In October 2020, after two and a half years of arbitral proceedings, the ICC Arbitral Tribunal issued its award in the matter. The award states that PharmaEssentia’s multiple attempts to terminate the agreement were unjustified, and that AOP is entitled to damages of over EUR 143 million for project delays caused by PharmaEssentia. The award also dismissed all of PharmaEssentia's counterclaims against AOP.
In December 2020, PharmaEssentia filed an application with the Frankfurt Higher Regional Court to set aside this award, arguing that the award violated public order and PharmaEssentia’s right to be heard. In March 2021, the Frankfurt Higher Regional Court dismissed this application and declared the award enforceable.
In March 2021, PharmaEssentia filed an appeal against this court decision with the German Federal Court of Justice, requesting again that the award be set aside. On February 14, 2022, the German Federal Court of Justice decided that the Frankfurt Higher Regional Court correctly upheld the award with respect to the validity of the agreements and the dismissal of PEC's counterclaims.
However, it found procedural flaws with respect to product supply and damage quantification. The decision has no implication regarding the merits of AOP’s claims against PEC and will only result in protracted further proceedings.