Business

SciSparc Secures Favorable Settlement in Lawsuit It Filed, Receiving Cash Compensation and a Full Release from All Commitments, Royalties, and Allegations Asserted Against It on Claimed Core Technology

TEL AVIV, Israel, Feb. 18, 2025 (GLOBE NEWSWIRE) -- SciSparc Ltd. (Nasdaq: SPRC) ("Company" or "SciSparc"), a specialty clinical-stage pharmaceutical company focusing on the development of therapies to treat disorders of the central nervous system, announced today that it has reached an important settlement agreement (the “Settlement”) regarding a lawsuit it filed in February 2022 with the Economic Division of the Tel Aviv-Jaffa District Court against six of the Company’s former directors (the “

articleScisparc Ltd.February 18, 20253/company/scisparc-ltd/news/scisparc-secures-favorable-settlement-lawsuit-121700686
SciSparc Secures Favorable Settlement in Lawsuit It Filed, Receiving Cash Compensation and a Full Release from All Commitments, Royalties, and Allegations Asserted Against It on Claimed Core Technology

About this update from Scisparc Ltd.

[{"type":"image","alt":"SciSparc Ltd","displaySize":"","headline":null,"caption":"SciSparc Ltd","className":"","disableSlideshowImg":false,"size":{"original":{"width":296,"height":296,"url":"https://media.zenfs.com/en/globenewswire.com/be600651bf31c0eac5b1f38ffceddbae"},"resized":{"url":"https://s.yimg.com/ny/api/res/1.2/MrHl.FxBjx0vaFl08ACRrg--/YXBwaWQ9aGlnaGxhbmRlcjt3PTQyMDtoPTQyMDtjZj13ZWJw/https://media.zenfs.com/en/globenewswire.com/be600651bf31c0eac5b1f38ffceddbae","width":296,"height":296}},"lazy":false},{"type":"text","content":"TEL AVIV, Israel, Feb. 18, 2025 (GLOBE NEWSWIRE) -- SciSparc Ltd. (Nasdaq: SPRC) ("Company" or "SciSparc"), a specialty clinical-stage pharmaceutical company focusing on the development of therapies to treat disorders of the central nervous system, announced today that it has reached an important settlement agreement (the “Settlement”) regarding a lawsuit it filed in February 2022 with the Economic Division of the Tel Aviv-Jaffa District Court against six of the Company’s former directors (the “Defendants”) case number 34426-02-22 (the “Suit”). The Suit included allegations of breaches of fiduciary duties of the Defendants under the Israeli Companies Law, 1999, relating to a prior acquisition of a pain clinic network through a subsidiary of the Company.","length":783,"tagName":"p"},{"type":"text","content":"As part of the Settlement, which was facilitated through mediation and approved by the court, SciSparc will be entitled to a $411,000 cash payment from the Defendants, in exchange for the full dismissal by SciSparc of the alleged claims brought against the Defendants in the Suit.","length":280,"tagName":"p"},{"type":"text","content":"The Settlement also includes the termination, effective as of February 5, 2024 of a disputed licensing agreement with Dekel Pharmaceuticals Ltd., (“Dekel”) a company controlled by Dr. Ascher Shmulewitz, the Company’s former chairman and chief executive officer (and one of the Defendants) entered into on May 21, 2015 and amended from time to time (the “License Agreement”). As part of the Settlement, Dekel clarified, to SciSparc’s full satisfaction, that SciSparc will retain its exclusive global rights to its extensive IP portfolio, patents, know-how and technologies and is released from all alleged commitments, claims and royalties related or arising out of the License Ag...

More updates from Scisparc Ltd.

SciSparc Ltd.Defendantsthe Companypharmaceutical companythe Settlementdevelopment programs