ChromaDex, Inc. v. Elysium Health, Inc.

In this 2017 case, ChromaDex, Inc. sued Elysium Health, Inc.
for breach of supply and royalty agreements, fraudulent deceit,
and misappropriation of trade secrets related to proprietary
ingredients NIAGEN® and pTeroPure®. Elysium counterclaimed,
alleging unfair competition and patent misuse. The case was
filed in the United States District Court for the Central District of
California and involved a DTSA claim. The court dismissed most
of ChromaDex’s claims, including those for fraudulent deceit
and misappropriation of trade secrets, but also dismissed in part
Elysium’s counterclaims. The decision highlighted the
importance of detailed factual allegations when claiming trade
secret misappropriation and set a precedent on the application
of patent misuse in contract disputes. This case also
emphasized the narrow interpretation of exceptions to the
economic loss rule in trade secret litigation.