Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-casd-3_19-cv-01866/USCOURTS-casd-3_19-cv-01866-0/pdf.json

Nature of Suit Code: 190
Nature of Suit: Other Contract Actions
Cause of Action: 28:1332oc Diversity-Other Contract

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3:19-cv-1866-W-AHG

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UNITED STATES DISTRICT COURT

SOUTHERN DISTRICT OF CALIFORNIA

THE SCRIPPS RESEARCH 

INSTITUTE,

Plaintiff,

v.

CEMPRA PHARMACEUTICALS, INC.,

et al.,

Defendants.

Case No.: 3:19-cv-1866-W-AHG

ORDER VACATING EARLY 

NEUTRAL EVALUATION 

CONFERENCE AND CASE 

MANAGEMENT CONFERENCE

On December 27, 2019, Defendants Cempra Pharmaceuticals, Inc., Melinta 

Therapeutics, Inc.,1 and Melinta Subsidiary Corp. filed a Suggestion of Bankruptcy on 

the record, explaining that each of these Debtor entities has filed for bankruptcy in the 

United States Bankruptcy Court for the District of Delaware. ECF No. 14. The 

bankruptcy filings operate as an automatic stay of all judicial actions against those 

Defendants pursuant to 11 U.S.C. § 362(a). Thus, in light of the automatic stay, the Early 

Neutral Evaluation Conference (“ENE”) and Case Management Conference (“CMC”) 

 

1 Defendant Melinta Therapeutics, Inc. was formerly known as Cempra, Inc., which is 

also a named Defendant. See ECF No. 14 at 2 n.1.

Case 3:19-cv-01866-W-AHG Document 15 Filed 12/30/19 PageID.<pageID> Page 1 of 2
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3:19-cv-1866-W-AHG

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currently scheduled for February 12, 2020 are hereby VACATED. 

Notably, it appears the bankruptcy proceedings involve only four of the five named 

Defendants in this action. However, the sole non-debtor Defendant Castle Acquisition 

Corp. (“Castle”) has not yet filed any responsive pleading in this case, and there is no 

proof of service on the record to indicate whether a responsive pleading is yet due from 

Castle. If non-debtor Defendant Castle files an Answer, the Court will reset the ENE and 

CMC at that time so that Plaintiff and Castle may attempt settlement negotiations and, if 

negotiations fail, begin to engage in discovery. See, e.g., Dish Network, LLC. v. Jadoo 

TV, Inc., No. CV 18-9768-FMO (KSX), 2019 WL 4544423, at *4 (C.D. Cal. Aug. 14, 

2019) (“It is well established that an automatic bankruptcy stay does not extend to nondebtors”) (citing In re Chugach Forest Prods., Inc., 23 F.3d 241, 246 (9th Cir. 1994)); In 

re Miller, 262 B.R. 499, 505 (Bankr. App. P. 9th Cir. 2001) (“[S]ection 362(a) does not 

preclude generation of information regarding claims by or against a non-debtor party, 

even where that information could eventually adversely affect the Debtor[s].”). 

IT IS SO ORDERED.

Dated: December 30, 2019 A,,,. A .r- _J_j d . _ J .. 1,. .. , J' 

Hono

~

rable 

·e['Y\., 

Allison 

Tl.· 

H

~ 

. Goddard 

Uruted States Magistrate Judge 

Case 3:19-cv-01866-W-AHG Document 15 Filed 12/30/19 PageID.<pageID> Page 2 of 2