ACTCA, a Member of the Alliance, Inc. v. Rhythm Pharmaceuticals, Inc.

I. INTRODUCTION AND BACKGROUND

On December 21, 2021, plaintiff ACTCA, A Member of the Alliance, Inc. (“ACTCA”) filed suit against defendant Rhythm Pharmaceuticals, Inc. (“Rhythm”) and Does 1 through 10 in Los Angeles Superior Court. Dkt. 1-4, Exh. D. On February 18, 2022, Rhythm removed the case to this Court on the basis of diversity jurisdiction. Dkt. 1. ACTCA alleges a claim for breach of contract, which arises out of a series of written agreements between Rhythm and ACTCA; SFCT, A Member of the Alliance, Inc.; ICTLV, Inc.; and NYCT, A Member of the Alliance, Inc., (collectively “Axis”) to conduct two separate clinical trials. Id. □ 8, 14-18. ACTCA alleges that Rhythm failed to tender the amounts owed to Axis pursuant to the agreements. Id. {J 11-12. On April 14, 2022, Rhythm filed the operative First Amended Counterclaims against Axis. Dkt. 26. The Court held a jury trial from September 6, 2023, through September 8, 2023, and September 12, 2023, through September 15, 2023. Dkts. 104, 106-07, 114-16, 121. Rhythm’s remaining claims at trial were for (1) breach of contract; (2) breach of the implied covenant of good faith and fair dealing; and (3) breach of the…