Bionpharma Inc. v. Corerx, Inc.

Nature of the Document

The supplied text is a November 29, 2022 letter from CoreRx, Inc., identified as defendant-counterplaintiff, requesting a pre-motion conference concerning discovery. It asks the court to issue a protective order under Federal Rule of Civil Procedure 26(c) and quash two deposition notices served by Bionpharma Inc., identified as plaintiff-counterdefendant. The text does not contain a decision on that request.

Background

Bionpharma noticed depositions of Frank Leo and Ashton Poole, both members of CoreRx’s board of directors. Leo also serves on the board of Azurity Pharmaceuticals, and Poole previously served on Azurity’s board. According to CoreRx’s letter, Bionpharma’s counsel said the depositions were sought because the two directors might have insight into a settlement agreement between CoreRx and Azurity and the relationship between those companies.

CoreRx’s letter states that Leo and Poole joined the CoreRx board in January 2021, after Bionpharma and CoreRx entered into the November 2020 agreement involved in the case. CoreRx also states that neither director participated in the settlement agreement, knew about an Azurity lawsuit against CoreRx before it was filed, or participated in CoreRx’s decision whether to manufacture and sell enalapril maleate oral liquid solution to Bionpharma. CoreRx further says that the directors are not involved in CoreRx’s daily management and receive information through management, including CoreRx’s chief executive officer, Ajay Damani.

Arguments About the Depositions

CoreRx relies on decisions stating that courts generally disfavor depositions of directors or senior executives unless the person has relevant personal knowledge or unique knowledge that cannot be obtained elsewhere. CoreRx argues that Leo and Poole do not meet that standard and that any information they might have about CoreRx’s relationship with Azurity or the settlement agreement would either be irrelevant or available from other witnesses. CoreRx also argues that requiring the depositions would burden the directors, QHP Capital, and the companies on whose boards they serve.

The letter says CoreRx had initially identified Leo and Poole as having relevant information but later served amended disclosures removing them. It also says Bionpharma noticed both depositions in New York even though neither potential witness resides in New York.

Court Action Shown in the Text

The text includes a “SO ORDERED” notation associated with Magistrate Judge Valerie Figueredo. The notation states that Bionpharma had until December 9, 2022, to respond and that ECF No. 167 would be addressed at a December 13 conference. The supplied material does not state whether the court granted, denied, or otherwise decided CoreRx’s request to quash the deposition notices.