Siga Technologies, Inc., a Delaware Corporation, Defendant Below, Appellant/cross-Appellee v. Pharmathene, Inc., A…

Summary

The Supreme Court of Delaware affirmed a $113 million award of lump-sum expectation damages for SIGA’s bad-faith breach of its contractual obligation to negotiate a license agreement consistent with the parties’ term sheet. The court held that the law-of-the-case doctrine did not bar the Court of Chancery from reconsidering its earlier conclusion that expectation damages were too speculative, and that the trial court properly found the damages proven with reasonable certainty. The court also upheld the trial court’s limited use of post-breach evidence and its consideration of SIGA’s willful conduct in assessing uncertainty.