Pharmaceutical giant GlaxoSmithKline lost a round in the U.S. Court of Appeals for the Third Circuit when a three-judge panel revived for trial a breach of contract claim brought by a generic drug manufacturer with rights to the formula for Paxil.

The U.S. District Court for the District of New Jersey should not have granted summary judgment to GSK without considering the evidence of an alternative reading of the contract between GSK and a generic drugmaker called Mylan, the appeals court held. The claim is back for the U.S. District Court for the District of New Jersey.