Using the Law to Align Incentives with Needs in Public Private Partnerships for Drug Discovery and Development: Insights from the Emory Drug Discovery Institute Liza Vertinsky This Article uses the Emory Drug Discovery Institute (EDDI) as a focal point for analyzing the current problems with drug discovery and development – often referred to as the ‘valley of death’ phenomenon, and the ability to address these problems through organizational innovations within the existing legal framework. Academic researchers, supported by public funds, have traditionally focused on early stages of molecular and medicinal research. Industry is left to pick up the development of promising discoveries into new commercial products. But many important discoveries remain underdeveloped or undeveloped because of a variety of barriers in moving fundamental discoveries into effective programs for further development. One of the biggest barriers is the cost of moving beyond early stage pre-clinical phases of drug discovery. A related, barrier is the need to involve a multidisciplinary team, along with their related space and resource needs, at increasingly early stages of discovery and development. Few academic institutions have developed the capacity to move development of promising molecules beyond early and comparatively low cost pre-clinical stages, and the private sector has shown increasingly less interest in becoming involved in projects that have not reached a clinical stage of development. Nobody wants to be in charge of moving through this intermediate world of expensive incremental improvements. The EDDI provides an example of the ways in which universities can be used to provide innovative solutions to these problems. The EDDI has as its goal the creation of a continuous progression from early discoveries through pre-clinical phases of development to clinical settings where they are ready for regulatory approval to enter human clinical evaluation. Current challenges with making the EDDI work highlight important changes in the legal and regulatory framework that will be needed to make broader strategies for translational research and development succeed. Sustainability of this approach is one of the biggest challenges. Finding ways to reward incremental improvements in this university setting also remain challenging. I argue that while experiments such as the EDDI can address some of the challenges that are contributing to the valley of death, success at a broader scale will require changes in the regulatory and legal structure supporting academic biomedical research. I argue that achieving public health objectives needs to be better articulated by the law as part of the mandate of universities receiving public funds. I also argue that this needs to be a funded mandate in the sense that proper incentives, such as priority in certain kinds of grant funding, need to be provided for those universities that are investing in this middle ground of incremental improvements.