The California Supreme Court Finds “No Duty To Innovate” — As Against Any Supposed-Gilead AIDS / R&D Slow-Walk…

As ever, we will open with the opinion (119 pages of a PDF) itself. It is a sensible one. While there may in the future be certain edge cases — where a wider duty might be found, this is not that case, in my estimation.

AIDS was (back then) a highly lethal diagnosis — and Gilead’s TDF was providing many years of progression free survival in the early 2000s. True, the side effects were often daunting — but it all meant a very good shot at a longer life. AIDS activists — not wrongly — sought to force Gilead to market a more gentle (on the patient) formulation, as soon as a glimmer of it became known in the research literature. Gilead did not immediately do so. Thus, this suit followed.

The court has held that the duty of care does not extend to a duty to immediately (without regard to economics) “innovate” — for new drugs. It was enough that the drug was effective at prolonging life, and that governments were willing to reimburse patients for taking it, held the courts — top to bottom.

That principle has been re-affirmed today. Here’s the latest on it all, from the SF Chronicle’s reporting:

…Rejecting claims by 24,000 AIDS patients, the California Supreme Court ruled Monday that pharmaceutical giant Gilead Sciences acted legally by marketing a drug for years that was effective but had potentially harmful side effects, while withholding another product that was equally effective but less harmful.

“A manufacturer cannot be held liable for injuries caused by a nondefective product,” Justice Joshua Groban said in a 6-1 decision overturning a lower-court ruling that had allowed the patients to sue the Foster City-based company.

The drug, tenofovir disoproxil fumarate, or TDF, was one of the first effective medications against HIV, the virus that causes AIDS. Gilead began developing it in 1991 and obtained U.S. Food and Drug Administration approval to market it in 2001….

Requiring a company to determine whether a less-harmful product is available and, if so, halt its sales of an equally effective, government-approved medication “would place extraordinary burdens on drug manufacturers,” said Groban….

[From the opinion itself, then:] Even if we were to assume arguendo that manufacturers may owe a general duty of reasonable care apart from their duty to market products free from defects, we held in Rowland v. Christian (1968) 69 Cal.2d 108 (Rowland) that foreseeability and policy considerations may justify an exception to section 1714’s default duty in appropriate circumstances. Such circumstances exist here.

Where, as here, the allegedly safer drug has not yet undergone large-scale clinical testing in humans or received approval from the federal Food and Drug Administration (FDA), any harm resulting from a drug manufacturer’s delay in commercializing that drug would arise, if at all, only through a chain of uncertain scientific outcomes and discretionary decisions by actors beyond the manufacturer’s control….

Now you know — out into the warm sunshine for a bike trek — and, in about ten days, another Northern California half-iron trip! Then… on to France! Smile….

नमस्ते

Hinderaker Still Shilling, For That Hate-Mongering Athleti-Leisure Wear Brand. Ugh.

This whole fake outrage to sell athletic gear thing… is fundamentally sad.

But 100% on brand for Hinderaker.

I will let it go now, for the trivia it is.

There are real problems to be addressed in the world, but John would rather make a quick buck off of a fake wedge issue among Americans.

Nope — old John will never be above making money off of dividing people of good will.

So too here — a second time. Just as we mentioned last week, in Seattle.

Out.

Tangerine 2.0 Is Now Fully… Naked — Even Before His MAGA Faithful. Ick.

Bill Otis is right: Trump’s brand — to the extent he ever had one — is now… dead.

No one — not even his MAGA faithful believe a single word he says, any longer. And Iran is using him like an old yellow dishrag: beat; rinse and repeat.

Here’s Bill’s correctly caustic take:

…The problem is not primarily that the public doesn’t know what Trump’s war aims are; the primary problem is that, so far as the actual evidence shows, Trump has no clue about what his own aims are. He (mostly) says that it’s to ensure that Iran never builds or obtains The Bomb, but he can’t help knowing that Iran will pursue a nuclear weapon no matter what it promises….

Still, Trump is the President. A President’s leadership is desperately needed.

But Trump has squandered the essential components of leadership by, inter alia, his absurd self-absorption, his relentless exaggeration, his rogue interference with, among other things, the Justice Department (see, e.g., his latest ego-laden flare-up with US Attorney Jeanine Pirro about the Reflecting Pool), and perhaps most importantly for present purposes his failure to make any sustained, serious attempt to explain to the country why the Iranian threat is so serious and why it would be foolhardy and dangerous to continue to kick the can down the road.

And there’s one other dreadfully corrosive problem: The handicapping of our ability to trust that we’re getting the truth — from Trump… or his domestic opponents… from anyone….

You guys sure did pick a winner — twice. Damn.

Out.

Courtesy Of InnerCityPress, We Note That Two Young Kids Have Been Held For Six Months(!) By Tangerine 2.0’s Immigration Authorities W/O Due Process; Now Habeas Filed In SDNY…

Again — it requires intentional wanton cruelty to incarcerate a nine-year old indefinitely, without so much as a probable cause hearing. But this is how Tangerine 2.0 has decided to treat our fellow young humans. Deplorable.

These kids should be in school during the days, and free to play in the parks until dark, out east in the evening. Not so, in Trump’s ugly and lawless America. Here’s Matthew Russell Lee, on it all:

…Two children, 13 and 9, have been detained for six months without apparent progress toward their release by the Office of Refugee Resettlement.

In a habeas corpus petition replete with redactions, their next friend Lauren Louda has sued for their release in the U.S. District Court for the Southern District of New York, where Inner City Press found the petition.

Their mother, in Rhode Island, had rented a larger apartment for their release, after a home study report “due to a household member’s property and prior actions, both previously unknown” to the mother.

But they remain in “transitional foster care at Abbott House, an ORR subcontractor.”

The case has been assigned to Judge Arun Subramanian. He has ordered that they not be moved out of SDNY, EDNY or New Jersey absent the Court’s prior approval. Response is due on August 7.

It is Fouda v. Salazar, 1:26-cv-6559….

Dammit — this is… utterly incongruous with the lady in the harbor’s light. Onward.

नमस्ते

This Rumor Seems Pretty Implausible… They Compete Head To Head In Oncology — So Vast Divestitures Would Be Required. Timing Seems… Off, Too.

As purported M&A market rumors go, this one in particular seems to strain the far edge… of credulity.

But as is more than occasionally the case — it only takes one wild eyed pundit to start a “silly-news cycle” — for at least 24 to 48 hours. This seems to be the case here.

The most salient reason to doubt it could actually transpire would be the manifold antitrust objections in the UK, US, EU and Japan. These companies are head-to-head competitors in oncology and cardiovascular medicines — and on a vast scale. Sure — there are other, even larger, competitors — but sorting out the thicket of overlapping jurisdictional objections might take three or four years, all by itself. [Really — can anyone imagine responsible regulators in the UK, and EU and Japan… agreeing on much of anything — with Tangerine 2.0’s DoJ / Antitrust / FTC divisions? Me either.]

So, were a deal to occur, the combined company would scarcely resemble the two constituent parts (but for BMS, that may be the attraction, to be fair). In sum, AZ really has no need for this wildly large a deal — of any sort — unless there is much Pascal Soriot has been lying to the world about (highly unlikely).

So — color us… decidedly skeptical, here.

In any event, here is just some of the “at best, a rumor” now being reported in the financial press, around the globe this Monday AM:

…While details of the talks remain scarce and sources told the FT that a deal may never materialize, analysts questioned why AstraZeneca — whose market value has surged under CEO Pascal Soriot on the back of a strong drug pipeline — would pursue such a transaction.

AstraZeneca’s London-listed shares were last seen trading 4.7% lower, weighing on the U.K.’s blue-chip index FTSE 100, which was largely flat.

Shares of Bristol Myers rose 6% in U.S. premarket trading.

Coming into Monday trading, AstraZeneca had a market cap of $264 billion. That number has risen steadily over the past decade and since CEO Pascal Soriot took the reins in 2012 as the company has developed a solid pipeline of new drugs. It is targeting $80 billion in sales by 2030, up from $58.7 billion last year.

Bristol Myers’ market cap is roughly $133 billion, and the company is facing loss of exclusivity for multiple drugs. It’s expected to see declining growth from next year as patents expire and top-selling drugs like its blood thinner Eliquis and cancer medicine Opdivo will start to face generic competition.

Analysts were puzzled by both the news itself, as well as the timing of it.

“Given the strength of AZ’s growth and innovation profile, we are a bit perplexed,” Jefferies analysts wrote Monday morning. “Of course financial accretion can look good and maybe more cash generation would allow for more R&D. But if there is one company that doesn’t need financial engineering, it’s AZ….”

There you have it — Soriot simply has no need to do this deal. Onward, smiling into the sunshine — this beat is rarely cloaked in dull moments, to be certain! Yup.

नमस्ते

And Hinderaker Bloviates About Epidemic Dynamics He Never Even Remotely Understood…

This will be a very short entry, as we have set forth many times how horribly wrong — and willfully deceptive Hinderaker was (and still is) about COVID-19.

He’s both no biologist, and no statistician.

So, his purported “look back” — at Covid, is worth less than… zero.

As we’ve long shown — he lied to benefit Trump — and never even achieved that goal.

And people died for it (disproportionately, in MAGA country — as irony would have it).

D A M N.

Meanwhile, Hinderaker Whines That People In London Say Mean Things To Each Other…

Confidential Note to John:

That would be just about the opposite of… “the death of free speech”, across the pond, son.

[Seems he ought to more spend time worrying about US gags (RFK, Jr.) on actual public health science. Or about his Ohio GOP candidate credibly accused of sexual assaults and spouse abuse.]

But whatever — do carry on with your trivial lunacies, man.

I mean, your boy Tangerine 2.0 is once again talking about a multi-billion dollar slush fund, for his violent thugs/backers — and eternal immunity from IRS audit for himself — all because he can’t get his AG.

What’s not to like?!

Damn, are you guys predictable.

Out.

Some Marginally Good News: A Small Portion Of The Former USAID Funds Are FINALLY Being Sent On, To Africa…

It is infuriating that Musk was ever allowed to run amok. But that is what happens when he buys Tangerine 2.0, lock, stock and barrel.

Only now, eighteen months later, do the less idiotic members of Tangerine’s cabinet begin to accept that this gutting of multinational health and humanitarian aid… also endangers our national security. Just as we’ve pointed out, right from the get-go. Slowly, the Rubio hive-mind is accepting that reality.

To be clear, this is only a small fraction of what is needed, and what was lost. But it is… a start. Here’s the latest, from the NYT:

“…What may be happening here is that reality is sinking in for decision makers,” said Mark A. Green, who served as administrator of U.S.A.I.D. during President Trump’s first term and who is president of ONE, an advocacy organization for foreign assistance. “The good news is that Secretary Rubio clearly realizes that global health is what we do, and we’re really good at it. That’s why you’re starting to see more money moving.” He added, “I think there’s a realization that global health security is also American national security, too….”

Eighteen months ago, the freezing of assistance was perceived internationally as a significant U.S. retreat from multilateralism. It created immediate financial crises for many aid institutions, leaving gaping holes in budgets such as that of the World Food Program (WFP), which provides emergency food aid in war and disaster zones….

[Even so,] organizations working to support health programs in low-income countries are watching the closeout budget with alarm. Vincent Lin, associate director of health policy and advocacy at Partners In Health, said the fear was that the budget office was running down the clock, so that the funding allocations would expire at the end of the fiscal year in September.

Mr. Lin noted that while the budget office has not provided Congress with a breakdown of those closeout costs, many of the canceled U.S.A.I.D. awards were already closed. He said it would be hard to understand how the remaining costs could register in the billions of dollars.

“We can prevent a tremendous amount of suffering from TB, malaria, malnutrition and deaths of mothers and babies in childbirth by using these funds as Congress intended,” he said….

With each renewed step — each new step in the right direction… in this way, slowly, sanity might make a comeback. [Even so, it seems the close-out funds are being used by Tangernine 2.0… as back-door bribe opportunities. Dammit.]

नमस्ते

[U] The City’s Lawyers Have Done An Excellent Job, Overnight, Here…

The City of Evanston has filed its reply to the Fitton-driven nonsense. These crisis actors are simply too late — five years too late — in complaining.

The able USDC Judge Kness will soon so rule. Here is the latest, a powerful argument, from my city’s counsel — and a bit of it:

…Bifurcation of discovery is the means by which this Court can best fulfill its constitutional avoidance obligation. As discussed above, the timeliness of Plaintiffs’ injury of being “able and ready” to apply to the Program but being deterred from doing so is a separate inquiry from whether Plaintiffs actually could have truthfully applied to the Program. Bifurcating discovery is the mechanism by which this Court can avoid deciding Plaintiffs’ case on a constitutional issue and instead terminate Plaintiffs’ case through the straightforward issue of timeliness. Plaintiffs’ rejoinder that constitutional avoidance “says nothing about how a court should sequence discovery” (see ECF No. 59 at 9), misses the point: courts routinely consider the avoidance principle in exercising their case-management discretion. See Ameritech Corp. v. McCann, 403 F.3d 908, 911 (7th Cir. 2005) (noting that “federal courts are supposed to explore all nonconstitutional grounds of decision first, to ensure against unnecessary constitutional adjudication” and then reexamining a lower court decision “in the right order” by analyzing non-constitutional grounds for adjudication prior to addressing the constitutional issues). The Seventh Circuit has long recognized the “well established rule” that constitutional questions should not be reached where a case may be resolved on other grounds. See Stern v. U.S. Gypsum, Inc., 547 F.2d 1329, 1342 (7th Cir. 1977).

Nor is Evanston’s statute of limitations defense a constitutional question in disguise: an affirmative defense based on the accrual and expiration of a limitations period is a paradigmatic non-constitutional ground for resolving a case. See, e.g., Davis v. Borgen, 349 F.3d 1027, 1029 (7th Cir. 2003) (noting that a district court should not issue a certificate of appealability on a constitutional question where the underlying case was essentially resolved by a nonconstitutional issue like the claim being untimely)….

The motion to intervene filed by the United States (“the Government”) after Evanston moved to bifurcate discovery does not change the priority of bifurcating discovery as to the Plaintiffs. See ECF No. 48. As addressed in its opposition to the intervention motion and response to Plaintiffs’ motion to stay briefing on the Motion, Evanston contends that the Government’s motion is untimely and bifurcation is appropriate as to Plaintiffs’ claims regardless, so intervention is no basis to deny the Motion. See ECF No. 56 at 4; ECF No. 60 at 4–9. Both plaintiffs and intervenors must bring their claims in a timely manner. See Flower Cab Co. v. Petitte, 1987 WL 14715, at *4–6 (N.D. Ill. July 21, 1987)….

UPDATED: Monday, August 3, 2026 — Mr. Boutros, the
Trumpian AUSA — has claimed this evening that he (as the USA) can intervene, even when he’s missed the statute of limitations. The law is clear: he is completely wrong on it. So I won’t quote it — but just link it for a complete record. End updated portion.

Now you know. Onward, grinning. Yep. That’s (eventually) game… over.

नमस्ते

Tangerine’s State Dept. [Marco Rubio] Is Withholding Family Planning Supplies From Famine Stricken Ituri Province In Congo… Deplorable.

The dollar amounts involved are very small. So they can only be seen as… punishments, against humans having… disfavored sexual congress.

And the ones this “policy” of feckless cruelty truly hurts most… are the children born into a world of poverty and disease — one that they did not choose — and for which their parents are almost completely unprepared. Many will die in child-birth… and many more will suffer from life-long debilitating malnutrition. All of it avoidable, for a small cost.

But this is Marco Rubio’s new priority: kill as many African children as he can — in the name of his Catholic “right to lifers”. Dammit.

Overall, indeed — the family planning funds are but a small portion of the USAID former-budget. A budget approved by Congress (repeatedly), and ordered spent (again), two terms ago. No Congressional Act has changed any of the applicable law. Trump is just… ignoring it (and he is losing in the federal courts on this attempt — but at a glacial pace). What a putz. Here’s the latest, from Semafor:

…A bipartisan pair of senators is urging Secretary of State Marco Rubio to unlock family planning funding and supplies for women caught in the Ebola outbreak sweeping the Democratic Republic of the Congo’s east, warning that the Trump administration’s freeze on such aid is deepening a maternal health crisis.

In a letter shared first with Semafor, Sens. Jeanne Shaheen, D-N.H., and Lisa Murkowski, R-Alaska, asked Rubio to use $608 million in international family planning funds from the fiscal year 2026 appropriations bill and release $1.7 million worth of already-purchased contraceptive products which, the senators said, would otherwise be destroyed.

They also pressed for a “humanitarian exemption” allowing US support for the UN Population Fund, or UNFPA, so it can resume sexual and reproductive health programming in the affected region. President Donald Trump withdrew from the organization earlier this year.

“Providing sexual and reproductive health support to women is not a parallel track alongside the Ebola response: It is the Ebola response for the 642,000 women of reproductive age — including an estimated 37,820 pregnant women — in the affected areas,” the senators wrote….

What is wrong with these people?! They would lustily choose cruelty, solely for cruelty’s sake. Onward, resolutely just the same.

नमस्ते