Martin Shkreli, the onetime pharmaceutical company CEO now known as “Pharma Bro” who is serving prison time for fraud, must pay out more than $425,000 owed to a past investor in part because his “incarceration does not constitute a reasonable excuse for his default” in the man’s collection action, a state appeals court ruled Tuesday.

“Defendant’s [Shkreli’s] incarceration does not constitute a reasonable excuse for his default, given that he does not contest the receipt of service [in the 2018-filed] collection action and he was afforded six months to respond to plaintiff’s motion,” wrote an Appellate Division, First Department panel on Tuesday, as it rejected Shkreli’s appeal of a denial of his motion to vacate the default judgment entered against him in the case.

This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.

To view this content, please continue to their sites.

Not a Lexis Subscriber?
Subscribe Now

Not a Bloomberg Law Subscriber?
Subscribe Now

Why am I seeing this?

LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.

For questions call 1-877-256-2472 or contact us at [email protected]