Terumo Prevails in Litigation Seeking $35 Million in Earnout Payments

Skadden won a summary judgment victory for Terumo Americas Holding, Inc. in a federal court lawsuit arising out of its acquisition of Harvest Technologies, Inc. The seller's representative filed claims seeking more than $35 million in post-closing earnout milestone payments, arguing that Terumo purportedly failed to use commercially reasonable efforts to effectuate and fund a clinical trial on which certain milestones were based. The court granted summary judgment in favor of Terumo on all claims, rejecting the sellers' representative's breach of contract claims.