But the plot thickened. Polsinelli, initially on a $14 million flat fee agreement, made a strategic pivot. As the legal crosshairs shifted more to Davenport and Gary Tanner, a Valeant-turned-Philidor employee, Polsinelli opted to team up with Tanner’s lawyers from WilmerHale. This partnership, however, came with a twist. Unlike Polsinelli’s flat fee, WilmerHale billed by the hour, leading to allegations that Polsinelli deftly offloaded the legal duties to WilmerHale, inflating Philidor’s legal expenses.
Ruling in Favor of Polsinelli
This intricate dance between flat fees and hourly rates led to convictions for Davenport and Tanner, prompting the duo and the pharmacy to take legal aim at Polsinelli in 2020. Yet, both breach of contract and unjust enrichment claims against the firm crumbled in the district court – a decision the Third Circuit stood firmly by.
Breaking down the argument, the Third Circuit echoed that the pharmacy’s claims that Polsinelli had breached its duty of good faith, were like accusing a magician of trickery – while the act might seem deceitful, the essence of magic is illusion.
