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Biofrontera Dismisses Unfair Competition Case vs DUSA Pharmaceuticals in California State Court

Biofrontera AG (NASDAQ: BFRA) today comments on certain litigation in California state court between the Company and DUSA Pharmaceuticals, Inc. ("DUSA").

Benzinga · 05/13/2020 09:49

Biofrontera AG (NASDAQ: BFRA) today comments on certain litigation in California state court between the Company and DUSA Pharmaceuticals, Inc. ("DUSA").

In 2018, the Company sued DUSA Pharmaceuticals, Inc. in California state court alleging that DUSA engaged in Biofrontera AG (NASDAQ:BFRA, Frankfurt Stock Exchange: B8F))) (the "Company" or "Biofrontera"), an international biopharmaceutical company, today comments on certain litigation in California state court between the Company and DUSA Pharmaceuticals, Inc. ("DUSA").

In 2018, the Company sued DUSA Pharmaceuticals, Inc. in California state court alleging that DUSA engaged in unfair competition by providing excessive product samples to physicians and by using its distributor to inflate product prices. After filing suit, DUSA stopped using Foundation Care as its distributor to dispense its drug products, which was in substantial part the Company's goal in filing this lawsuit. The court also ruled early in the case that Biofrontera adequately alleged claims against DUSA based on DUSA engaging in tortious interference by making statements to third parties regarding the off-label use of its products, and allowed those claims to proceed to discovery.

Given the unprecedented and unforeseen economic circumstances caused by the spread of COVID-19, the Company has reevaluated its litigation strategy. Since the Company was successful in stopping DUSA from using Foundation Care, the Company has decided at this time to stop spending resources prosecuting these claims against DUSA in California state court.

The lawsuit brought by DUSA against Biofrontera in March 2018 before the District Court of Massachusetts in the United States is not affected by this decision and is ongoing.

Biofrontera will continue working to ensure a level playing field between the Company and its competitors, and Biofrontera will not hesitate to initiate legal action in the future to protect the Company and its customers.by providing excessive product samples to physicians and by using its distributor to inflate product prices. After filing suit, DUSA stopped using Foundation Care as its distributor to dispense its drug products, which was in substantial part the Company's goal in filing this lawsuit. The court also ruled early in the case that Biofrontera adequately alleged claims against DUSA based on DUSA engaging in tortious interference by making statements to third parties regarding the off-label use of its products, and allowed those claims to proceed to discovery.

Given the unprecedented and unforeseen economic circumstances caused by the spread of COVID-19, the Company has reevaluated its litigation strategy. Since the Company was successful in stopping DUSA from using Foundation Care, the Company has decided at this time to stop spending resources prosecuting these claims against DUSA in California state court.

The lawsuit brought by DUSA against Biofrontera in March 2018 before the District Court of Massachusetts in the United States is not affected by this decision and is ongoing.

Biofrontera will continue working to ensure a level playing field between the Company and its competitors, and Biofrontera will not hesitate to initiate legal action in the future to protect the Company and its customers.