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Technology Stocks : ATML's future
ATML 8.1400.0%Apr 12 5:00 PM EST

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To: GCRym who wrote (33)3/17/1997 10:04:00 AM
From: GCRym   of 195
 
This doesn't sound too good...(stuck long regardless). I'm not too sure how significant this is, maybe others will.

LOS ANGELES--(BUSINESS WIRE)--March 17, 1997--

U.S. District court rules that defendants have violated preliminary
injunction barring further sales and marketing of goods containing
copyrighted sound recordings and trademarks of Roland Corp. U.S.
The United States District Court for the Central District of
California on March 10, 1997 issued a finding of civil contempt of
court against semiconductor manufacturers Atmel Corp. (located in
San Jose, Calif.), DREAM, S.A. (a France-based subsidiary of Atmel)
and Crystal Semiconductor Co. (a Houston-based wholly owned
subsidiary of Cirrus Logic Inc.).
Ruling in a lawsuit brought by Roland Corp., a manufacturer of
electronic musical products, United States District Court Judge
Dickran Tevrizian ruled that, in violation of a Preliminary
Injunction, Atmel, Dream and Crystal had continued to market and
sell computer chips which potentially infringe upon Roland's
copyright in the sound recordings contained in Roland's Sound Canvas
line of products. Judge Tevrizian also found that the defendants
had continued to use the "Roland" and "Sound Canvas" registered
trademarks in connection with the sale of their products, also in
violation of the injunction.
The Preliminary Injunction, entered Dec. 30, 1996, required
the defendants to immediately cease the manufacture, distribution,
sale and advertising of any product containing Roland's copyrighted
sound recordings, to halt any further use of Roland's trademarks,
and to recall certain of the products from defendant's customers.
Although defendants appealed the grant of the Preliminary
Injunction to the Ninth Circuit Court of Appeals, both the District
Court and the appellate court denied in January motions by the
defendants to stay the preliminary injunction pending the appeal.
It is unknown when the Ninth Circuit Court of Appeals will rule; the
appeal is currently being briefed by the parties. Unless reversed by
the appellate court, the preliminary injunction will stay in effect
pending trial.
Roland registered a copyright in a series of sound recordings of
musical instruments and sound effects fixed in a digital ROM chip.
Applications for the copyrighted sound recordings include electronic
musical instruments, computer sound cards and karaoke machines.
Roland first became aware of a potential infringement of its sound
recordings in late 1995, which was immediately followed by an
extensive investigation, including a laboratory waveform analysis,
demonstrating that the defendants had copied the output of one of
Roland's products containing the copyrighted sound recordings.
To Roland's knowledge, no other manufacturer had ever copied
Roland's sound recordings -- widely considered to be among the best
in the industry -- for use in competing products. Roland filed suit
in September, 1996, and immediately sought a preliminary injunction,
which was granted in late December.
On Monday, the District Court ruled that notwithstanding its
order enjoining further marketing and sales of the subject products,
as well as an order requiring defendants to recall certain of the
subject products from their customers, the products were still being
marketed and sold, in violation of the injunction. In addition to
citing the defendants for contempt, the District Court expressly
reserved for the trial of the lawsuit, currently set for September,
1997, the issue of contempt damages to be awarded against the
defendants.
Dennis Houlihan, president of Roland Corp. U.S. commented: "We
are very pleased with the court's ruling, which reaffirms that the
trademark and copyright laws will protect the goodwill associated
with Roland's name, as well as the tremendous musicianship and
monetary investment of Roland in the creation of the original sound
recordings contained in its musical instruments, computer sound
cards and other products. We are hopeful that the defendants will
now comply with the preliminary injunction."
For further information, please contact Roland's outside
counsel, Lawrence Iser of Greenberg Glusker Fields Claman and
Machtinger LLP, 310/201-7411, or Junpei Yamato, General Counsel of
Roland Corp. U.S., 213/685-5141 ext. 406.
--30--CB/np* HN/np
CONTACT:
Greenberg Glusker Fields Claman and Machtinger LLP
Lawrence Iser, 310/201-7411
or
Roland Corp. U.S.
Junpei Yamato, General Counsel
213/685-5141 ext. 406
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