FDASmart Demands Trial by USA Court Jury for Damages to Alleged $ 900,000 in Lost Commissions & $40,000 from Unpaid Invoices- Dishman Pharma NJ Motion to Dismiss Denied

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Foreign company Defendant Dishman Pharma Limited and its New Jersey based Dishman USA subsidiary filed their Motion to dismiss on several grounds including lack of jurisdiction, forum non-conveniens, failure to join indispensable 3rd party and failure to state a claim. All grounds filed for the motion to dismiss were denied by New Jersey Superior Court ruling on October 28th, 2015.

FDASmart, Inc., a pharmaceutical global business development & consulting company based in New York, USA filed a breach of contract lawsuit on December 23rd, 2013 in the Superior Court of New Jersey, United States against India registered Dishman Pharmaceuticals & Chemicals Ltd (Dishman Pharma/DPCL) and its100% wholly owned, New Jersey subsidiary Dishman USA Inc.

According to the lawsuit, FDASmart alleges that that New Jersey based Dishman USA subsidiary is a corporate ‘alter-ego’ of its parent India-based Dishman Pharma . Consequently, as a result of the court opinion, Dishman Pharma is now subject to New Jersey state general jurisdiction for the FDASmart lawsuit.

The lawsuit alleges that Dishman Group entered into an exclusive agreement with FDASmart to facilitate the sale of its Shanghai, China active pharmaceutical ingredient manufacturing facility valued in millions of US dollars. FDASmart further alleges that Dishman Group breached that contract by failing to pay for services rendered and by frustrating continuance of FDASmart’s efforts to sell the facility and collect potential plant sale success fee.

The Memorandum of Agreement (MOU) which FDASmart alleges was breached was allegedly signed by Mr. J.R. Vyas, Managing Director & Chairman of Dishman Group hence Dishman Pharma Chemical Ltd (India) and its subsidiary Dishman USA are both named defendants in this lawsuit.

Allegations by FDASmart also include that Dishman USA’s continuous and systematic contacts in New Jersey on which rests New Jersey state court’s jurisdiction on Dishman USA was imputed to its India- based parent company Dishman Pharma due to the domination of its NJ subsidiary.

FDASmart has demanded a trial by jury for damages that include an alleged $ 900,000 in lost commissions plus $40,000 from unpaid invoices. All grounds for Dishman Pharma’s Motion to Dismiss were allegedly denied on the Oct 28, 2015 court ruling.

Superior Court
Middlesex County, New Jersey
Case Docket#: MIDL-7832-13

For requests about this press release, verification of NJ lawsuit or to obtain a public copy of NJ court-filed opinion,please contact: Ram Balani –CEO-Founder via email: rbalani(at)fdasmart(dot)com Office Phone at +1- 516-515-9642
or via Twitter to: @RJBalani

Contact Information
Ram Balani
FDASmart Inc.

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FDA Smart
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