Pacira Prevails in Dispute Over Post-Sale MyoScience Payments

Pacira Biosciences Inc. didn’t breach its agreement to make post-sale payments to the former leaders of MyoScience Inc., which developed the “iovera” pain management device, Delaware’s Chancery Court said Tuesday.

Pacira in 2019 acquired MyoScience in a deal that conditioned part of the sale payments—post-sale “earnouts"—on iovera achieving certain milestones, the court said. Under the contract, the earnout payments are tied to the reimbursement of certain medical procedures, billed through procedure codes, that used the iovera, the court said.

Because there’s no evidence that iovera was used in a procedure at issue, the plaintiffs, Fortis Advisors LLC, failed to establish ...