Elite Pharmaceuticals Inc (ELTP)

[imanjen13]

The stay of all proceedings for a period of up to 6 months revolves around the Perdue v Accord Healthcare case where Perdue was claiming,that Accord infringed upon the Perdue OXYCONTIN patent. Accord won the case and Perdue has a pending appeal. The decision in the Appellate Court to either affirm or reverse the Accord victory will have an effect on similar issues in the Perdue case against Elite and hence all parties have agreed to a stay.

As an Elite shareholder, the hope and expectation is that Accord will prevail in the Appellate Court and unless Perdue can appeal to a higher Court, Elite can move to lift the stay and make a motion to dismiss the Perdue claim based upon Stare Decisis, a fancy legal term for the issue has already been decided.

Meanwhile since there is a stay, all proceedings, including discovery have been halted so Elite will save on the legal fee and hopefully Perdue's claim will be moot. THe needle is starting to move our way.