Access Bio, a company that profited by selling Covid-19 diagnostic kits during the pandemic, is embroiled in a major lawsuit in the U.S.
In a public filing on Thursday, Access Bio said that Gradale, a California-based medical personal protective equipment (PPE) supplier, has filed a lawsuit against the company for damages.
Access Bio said that Gradale filed a complaint with the U.S. Superior Court of New Jersey on Sept. 23, and it received a notice on Thursday.
According to the Korean company, Gradale's claims against Access Bio total $173.71 million (about 236.4 billion won), or 38.54 percent of Access Bio's recent equity capital of 613.2 billion.
The claims break down into $68.57 million (92.8 billion won) in damages related to the ordering of the Covid-19 antigen self-test kits, $105.14 million (142.3 billion won) in punitive damages, and other damages, including attorneys' fees, litigation costs, interest, and any further relief the court deems just and proper.
Access Bio and Gradale have been engaged in a legal battle since May, and Gradale's claim for damages is a counterclaim to the lawsuit filed by Access Bio.
Earlier, Gradale had charged Access Bio a commission for the sale of the CareStart COVID-19 Antigen Home Test, a Covid-19 antigen self-test kit, and Access Bio had filed a lawsuit in New Jersey Superior Court alleging that it had no contract with Gradale and no legal responsibility.
The CareStart COVID-19 test was developed by Access Bio and its subsidiary Wells Bio, which received Emergency Use Authorization from the U.S. Food and Drug Administration (FDA) during the Covid-19 pandemic and launched the product under the name CareUS COVID-19 Antigen Home Test.
On Thursday, Access Bio issued a public statement criticizing Gradale for claiming rights to a non-existent contract. Access Bio said that Gradale's claim is a unilateral one that does not exist in the contract and that it would respond to this lawsuit vigorously for the safety and interests of the company.
"Gradale's claims are untrue and do not provide any legal basis for a contract," an Access Bio official said. "There is no contract between us and Gradale regarding the Covid-19 antigen diagnostic kit, and we will actively respond to the legal process through our legal representatives."
Access Bio is an in vitro diagnostics company majority owned by PharmaGen Science. It is a U.S. corporation listed on the Kosdaq market, with its headquarters and factory in the U.S.
On Sept. 21, it signed a contract with the U.S. Department of Health & Human Service to supply CareStart COVID-19 diagnostic kits worth $88.7 million (117.9 billion won) over two years.
The company recently announced its entry into the digital healthcare business by acquiring a partial stake in CuraPatients, a U.S. digital healthcare company.