单选题 The legal dispute between Frecopy and Dwean has yet to reach a conclusion. Talks between each side's legal representatives have been ensuing for about a month now. They were close to a settlement about a week ago but have since slid back from their earlier talks due to new information that has been released by the FDA. The FDA announced the discovery of a substance in both companys' migraine medication mix that exceeds the daily recommended amount by 12%.
The major area of dispute is that Frecopy claims that they legally licensed the use of the main substances from Dwean to make the medication for minors; however, they claim they were unaware of the legal dosage required under the FDA regulations since Dwean is the main applicant with the FDA. However, Dwean claims Frecopy was fully aware of the legal dosage in talks prior to the actual licensing agreement signing.
Recently, analysts have downgraded both companies in their equity reports and say that the two companies should proceed with caution and do their best to work out a settlement with the FDA and each other quickly and quietly. Any long, dragged out, legal disputes with the FDA and the state prosecutor's office could truly hurt both companies' long-term profitability.