Ampex Corp: Digital Storage Message Board

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Technology Stocks : Ampex Corp: Digital Storage

AMPX 7.887

+0.7%

Dec 31 3:59 PM EST

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To: Eric Wood who wrote (2445)	3/29/1997 12:00:00 PM
From: Lee Konkel	of 3256

Eric, <Are the two lawsuits (suit and counter-suit) over identical issues>.. Unfortunately not much information has come to light on the specifics of these actions. However, it is very common in these matters for the original defendant (Mitsubishi) to file what amounts to a counter claim. It is really not a counter-suit but a separate action in a different jurisdiction. The idea, of course, is to hope to prevail in that suit thereby establishing precedent to be used against the original suit. The best defense is a good offense theory. More than likely the two actions are very closely linked as far as what each claimed the other was violating. The actions may not be exactly over identical patents but the same core technology would be involved in each claim. See my post #2134. As far as different outcomes for each case. Yes, it is possible to have different outcomes. Anything is possible in the American legal system, but in patent law usually the technology issues are less emotional and more straightforward. My guess would be that we would see a settlement in the upcoming case. By losing their case, Mitsubishi is in a very difficult position with respect to the case starting on Monday. The biggest victory for Ampex is not the monetary awards from the case itself, but the fact that the case decisions send a very clear message to Ampex's competitors that if they used a patented Ampex technology they must pay royalties. The royalty income could be a significant portion of Ampex's future revenue stream. Lee

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