PROTIVA DROPS CLAIMS AGAINST INEX PHARMACEUTICALS IN CALIFORNIA

Inex Pharmaceuticals Corporation announced that Protiva Biotherapeutics issued a press release Dec. 27 stating that it has filed a dismissal of its pending claims against Inex in the Superior Court of the State of California. Protiva also disclosed that it reserves the right to reinstate its claims against Inex in the future.

Inex had filed a motion to dismiss the California lawsuit on the grounds that California is an inappropriate venue to settle a dispute between two British Columbia based companies and that the lawsuit filed in California is nearly identical to claims filed in the Supreme Court of British Columbia.

The dispute between Protiva and INEX is related to rights of certain drug delivery technology for the delivery of small interfering RNA ("siRNA"), a new class of oligonucleotide drugs. As part of the contractual agreements that created Protiva in 2001, Inex believes it has retained all rights to certain oligonucleotide delivery technology, including the delivery of siRNA. Inex also believes that any technology advancements made by Protiva and its collaborators or by Inex, for the delivery of oligonucleotides, are either owned by Inex or should be licensed to Inex on an exclusive, worldwide, paid-up and royalty-free basis.

Inex is continuing to develop its siRNA delivery technology with its collaborator, Alnylam Pharmaceuticals, a leader in the development of therapeutics based on siRNA.