World-renowned Orthopedic Surgeon Sues Medical Device Company For Breach Of Contract (The Sacramento Bee)
Dr. Andrew Cappuccino claims NuVasive, Inc. failed to pay him $660,000 "milestone payment" tied to FDA approval of spinal surgical device
Andrew Cappuccino, M.D., a world-renowned orthopedic surgeon based in Buffalo, has filed a lawsuit in U.S. District Federal Court, Southern District of California, accusing NuVasive, Inc., of breach of contract.
In a civil complaint filed today, Dr. Cappuccino charges NuVasive, a Delaware corporation, with principal offices in San Diego, with failure to pay a $660,000 "milestone payment" tied to Federal Drug Administration (FDA) approval of a medical device. The device, used in spinal procedures, was developed by Cervitech, Inc., a company in which Dr. Cappuccino was a prime investor and which was acquired by NuVasive.
The California company acquired New Jersey-based Cervitech in April 2009, in cash and stock deal valued at $80 million, contingent on FDA approval of Cervitech's cervical disc-replacement device. NuVasive agreed to pay $47 million upfront and another $33 million when government approval was granted.
Under terms of the share-pu...
