Despite finding that the makers of Cold-Eeze are likely to prove that their patent is valid and that it is being infringed by the makers of Zicam nasal spray, a federal judge has refused to issue an injunction to shut down Zicam’s factories, saying such a drastic move “would likely constitute a corporate death sentence.”
In his 75-page opinion in The Quigley Corp. v. Gumtech International Inc., U.S. District Judge Stewart Dalzell found that while Quigley clearly satisfied the first prong of the test for winning a preliminary injunction — by proving likelihood of success — it had failed to show that it would suffer any “irreparable harm” since any injury it suffers can be compensated with an award of money damages.
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