ZymoGenetics hit by injunction from rival

ZymoGenetics said rival King Pharmaceuticals has obtained a temporary restraining order barring the Seattle-based biotechnology company from making certain claims regarding how its only marketed product, Recothrom, compares to the competing drug from King.

The order, issued Tuesday by a U.S. district court judge in Greeneville, Tenn., came a day after King filed a lawsuit alleging ZymoGenetics has "engaged in unfair competition, false advertising, trademark infringement, and related claims under federal law and Tennessee state law," according to a regulatory filing Wednesday by ZymoGenetics.

The Seattle company, which denies any wrongdoing, said it "did not have an opportunity to participate" in the hearing that resulted in the restraining order, and it is asking the court to lift the order immediately.

A hearing on King's motion for a preliminary injunction is scheduled for Nov. 16, ZymoGenetics said.

Recothrom, a genetically engineered blood-clotting compound sold by ZymoGenetics since January 2008, competes with a more established drug from King that is derived from cow blood.

ZymoGenetics has argued that because Recothrom is not obtained from animal blood, it is safer for patients than King's product.

But sales have been slow -- ZymoGenetics reported net sales of $10.5 million for the first six months of this year, up from $2.4 million in the first half of 2008.