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Date: 19990513


Docket: T-1272-97

MONTREAL, QUEBEC, THIS 13th DAY OF MAY 1999

PRESENT: RICHARD MORNEAU, ESQ., PROTHONOTARY

Between:

     MERCK & CO., INC.

     and

     MERCK FROSST CANADA INC.

     Plaintiffs

     AND

     APOTEX INC.

     and

     APOTEX FERMENTATION INC.

     Defendants

     REASONS FOR ORDER AND ORDER

RICHARD MORNEAU, ESQ., PROTHONOTARY:

[1]      Upon hearing counsel for the parties, I am satisfied that the parties will have continual difficulty in the short and medium term in attempting to comply with the deadlines fixed by the Federal Court Rules, 1998 (the rules).

[2]      Although this proceeding was potentially subject to the issuance of a notice of status review in the near future, I do not believe that to order at this time that this case be specially managed causes prejudice to the Defendants since I am of the view that had a notice of status review been issued, the recent activity by the Plaintiffs in this case since March 16, 1999 coupled with their intention to move this case forward would have brought this Court to not dismiss this proceeding for delay under rule 382(2)(a) but allow it to continue as a specially managed proceeding.

[3]      Consequently, the Plaintiffs' motion to have this action managed as a specially managed proceeding pursuant to rule 384 is granted.

[4]      Furthermore, unless a varying order is issued by the case management judge, the Defendants shall either serve and file a defence or a motion to strike or, alternatively, seek particulars returnable before the end of June 1999. Further steps in this proceeding shall be scheduled by the case management judge.

[5]      Costs in the cause.

Richard Morneau

     Prothonotary

     FEDERAL COURT OF CANADA

     NAMES OF COUNSEL AND SOLICITORS OF RECORD

COURT NO.:

STYLE OF CAUSE:

T-1272-97

MERCK & CO., INC. and

MERCK FROSST CANADA INC.

     Plaintiffs

AND

APOTEX INC. and

APOTEX FERMENTATION INC.

     Defendants

PLACE OF HEARING:Montreal, Quebec

DATE OF HEARING:May 10, 1999

REASONS FOR ORDER BY RICHARD MORNEAU, ESQ., PROTHONOTARY

DATE OF REASONS FOR ORDER:May 13, 1999

APPEARANCES:

Mr. Brian Daley

for the Plaintiffs


Mr. D. M. Scrimger

for the Defendant Apotex Inc.


Mr. John A. Myers

for the Defendant Apotex Fermentation Inc.

SOLICITORS OF RECORD:


Ogilvy Renault

Mr. Brian Daley

Montreal, Quebec

for the Plaintiffs


Goodman Phillips & Vineberg

Mr. D. M. Scrimger

Toronto, Ontario

for the Defendant Apotex Inc.


Taylor McCaffrey

Mr. John A. Myers

Winnipeg, Manitoba

for the Defendant Apotex Fermentation Inc.


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