Why should Cognate 'return some money' to NWBO? What is the business theory behind that? You mean they should invest now, or they should say 'we took too much in payment here's some $ back?' There are a couple of big questions like how much cash Cognate might have available. If they even have the unused cash, even if they bought shares there might be insider trading concerns and/or even more claims against Cognate if the investment paid off.
OTOH are you are talking about returning wfn warranty shares? I don't think so - sounds like you think NWBO needs cash now so Cognate should rebate them. But just lets talk about the MFN warranty for a moment. Why should Cognate give that up now that it's active? Here's the thing: if the shares in lieu of cash for invoice payments was a fair deal, then Cognate would have paid a higher price in exchange for getting a MFN clause vs what they would have been willing to pay without it. It's like buying any kind of warranty on any transaction. Price with warranty is higher than the price without the warranty. If the seller gets a higher price in return for the warranty, then if he has to make good on the warranty, how is he supposed to not make good? The odds of having to pay the warranty were priced into the deal. Once the warranty gets invoked, the seller can't say 'time out, warranty is unfair.'
Now it can certainly be argued that the terms were not fair to NWBO, but that's a separate argument. Anyway Cognate may well end up giving back some of the shares, or even paying for them - that seems a lot less likely because I don't think Cognate is just sitting on piles of cash. It's a business so it's supposed to invest its cash and keep some for any unanticipated needs. I'd like Cognate to invest in NWBO, but that could open a big new can of worms given the current circumstances.
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