Important from YMB
CYDY SUING 13D POINTS:
1) Cydy is NOT suing for monetary damages! Too many people assume when you sue someone it's for money.
Chancery court is for deciding aspects of equity. Not seeking reparations for damages. Case was filed in Delaware chancery court. (Not every state even has a chancery court because of its specific purpose). In fact, there are no juries in Chancery court. It's all adjudicated by judges.
Chancery court is for suing to obtain some form of non-monetary award.
We actually know from the court filing what this is. Cytodyn is seeking an injunction against 13D group from making statements about their goals, aims, etc because they have misled investors that caused a drop in SP. In essence the lawsuit is to silence them under order (gag order if you will)
2) Proof of claims: Cytodyn claims are a binary event and the 13D group doesn't have any real wiggle room.
Did 13D file documents that didn't expose former BOD, employees, and relationship with Bruce P. Which led to investors being misled as to 13D intentions? We know the answer to this is yes and there are fifty such (and I am certain Sidley has verified) infractions.
Since 13D can't argue the filing wasn't missing the info, they could argue the information itself is wrong. Did Dr. P work previously with Cytodyn and a proposed buyout that went south? Did he try to patent material not his? Did Caracciolo and Pestell previously work for Cytodyn?
We know these facts to be true as well.
So 13D can't say the facts they left out are incorrect and they can't say they didn't leave them out.
The chancery court is giving them five days for an answer but without a rabbit from a hat, this case is going to be decided rather quickly.
3) a long drawn out court case? No, it appears there has been a request to expedite. For the reasons listed above this seems most likely. Doubtful this case is going to cost millions as people suggest or fear.
3) NP has made a tactical error by opening himself up to deposition? This is just FUD. The suit is actually very target specific. It's designed to shut up the 13D group. Even if it did get dragged out, saying NP deceived investors is not an excuse for 13D deceiving investors. If that's the defense tactic they are on their way to a major loss. But it's almost certainly not going that direction. Again this about forcing 13D to no longer make comments or seek the proxy vote.
4) the death knell for 13D. With 13D disqualified from the proxy vote and if Cytodyn wins this case, the 13D ordered by chancery court to cease and desist, that's the end of 13D.
5) Why spend the money on this? Some posters are saying this is just a greedy means for current BOD to keep their jobs. Probably but who wouldn't try to keep their job especially if they have done the hard work of a decade and someone else is trying to steal it at the gates to success?
But as some posters have hypothesized, this may actually be a means to discuss a merger with big pharma.
Don't let the bashers deceive you. They keep saying no merger can happen with a lawsuit hanging over Cytodyn head. Correct, so ask yourself why Cytodyn filed this suit?
My theory:. No big pharma will discuss a merger with a proxy battle ongoing. The suit as mentioned above is to completely crush and eradicate the 13D proxy battle. Once that is out of the way, any merger discussion can be resumed.
If that is the purpose of the lawsuit, to pave the way for a merger, then it appears to be well justified in my opinion.
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CYDY SUING 13D POINTS:
1) Cydy is NOT suing for monetary damages! Too many people assume when you sue someone it's for money.
Chancery court is for deciding aspects of equity. Not seeking reparations for damages. Case was filed in Delaware chancery court. (Not every state even has a chancery court because of its specific purpose). In fact, there are no juries in Chancery court. It's all adjudicated by judges.
Chancery court is for suing to obtain some form of non-monetary award.
We actually know from the court filing what this is. Cytodyn is seeking an injunction against 13D group from making statements about their goals, aims, etc because they have misled investors that caused a drop in SP. In essence the lawsuit is to silence them under order (gag order if you will)
2) Proof of claims: Cytodyn claims are a binary event and the 13D group doesn't have any real wiggle room.
Did 13D file documents that didn't expose former BOD, employees, and relationship with Bruce P. Which led to investors being misled as to 13D intentions? We know the answer to this is yes and there are fifty such (and I am certain Sidley has verified) infractions.
Since 13D can't argue the filing wasn't missing the info, they could argue the information itself is wrong. Did Dr. P work previously with Cytodyn and a proposed buyout that went south? Did he try to patent material not his? Did Caracciolo and Pestell previously work for Cytodyn?
We know these facts to be true as well.
So 13D can't say the facts they left out are incorrect and they can't say they didn't leave them out.
The chancery court is giving them five days for an answer but without a rabbit from a hat, this case is going to be decided rather quickly.
3) a long drawn out court case? No, it appears there has been a request to expedite. For the reasons listed above this seems most likely. Doubtful this case is going to cost millions as people suggest or fear.
3) NP has made a tactical error by opening himself up to deposition? This is just FUD. The suit is actually very target specific. It's designed to shut up the 13D group. Even if it did get dragged out, saying NP deceived investors is not an excuse for 13D deceiving investors. If that's the defense tactic they are on their way to a major loss. But it's almost certainly not going that direction. Again this about forcing 13D to no longer make comments or seek the proxy vote.
4) the death knell for 13D. With 13D disqualified from the proxy vote and if Cytodyn wins this case, the 13D ordered by chancery court to cease and desist, that's the end of 13D.
5) Why spend the money on this? Some posters are saying this is just a greedy means for current BOD to keep their jobs. Probably but who wouldn't try to keep their job especially if they have done the hard work of a decade and someone else is trying to steal it at the gates to success?
But as some posters have hypothesized, this may actually be a means to discuss a merger with big pharma.
Don't let the bashers deceive you. They keep saying no merger can happen with a lawsuit hanging over Cytodyn head. Correct, so ask yourself why Cytodyn filed this suit?
My theory:. No big pharma will discuss a merger with a proxy battle ongoing. The suit as mentioned above is to completely crush and eradicate the 13D proxy battle. Once that is out of the way, any merger discussion can be resumed.
If that is the purpose of the lawsuit, to pave the way for a merger, then it appears to be well justified in my opinion.
Less
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CytoDyn Inc (CYDY) Stock Research Links
Whatever happens, we have got
Le-Ron-Li-Mab, and they have not.
Le-Ron-Li-Mab, and they have not.
