>>Third Wave and Stratagene Resolve Patent Litigation; Companies Agree to Process to Resolve Future Disputes
Tuesday January 30, 6:30 am ET
MADISON, Wisc. & LA JOLLA, Calif.--(BUSINESS WIRE)--Third Wave Technologies, Inc. (NASDAQ:TWTI - News) and Stratagene Corporation (NASDAQ:STGN - News) today announced that they have reached an out-of-court settlement regarding the matter litigated in U.S. District Court in Wisconsin in September 2005 and appealed to the Federal Circuit in Washington, D.C.
Stratagene has agreed to pay Third Wave $10.75 million in cash as full satisfaction for the judgment. The companies also have agreed to stay any further litigation for nine months. The companies will either seek dismissal without prejudice or an extension of the trial date for Stratagene's lawsuit against Third Wave in U.S. District Court in Delaware. Stratagene and Third Wave have also agreed to a process to resolve that case or any other disputes through an agreement that enables either company to elect to arbitrate a patent dispute or to resolve it through a royalty-bearing license.
"We're pleased to resolve this outstanding legal matter in a manner benefiting both companies," said Dr. Joseph A. Sorge, Chairman and CEO of Stratagene. "With this settlement, we will be able to redeem our $21 million appeal bond and strengthen our balance sheet by $10.25 million. In addition, the resolution of this issue will also enable our management team to focus more resources on executing our long-term growth strategy in molecular diagnostics, including the pursuit of additional partnerships and product development opportunities."
"This settlement is a positive outcome for both Third Wave and Stratagene," said Kevin T. Conroy, president and chief executive of Third Wave. "The settlement has the dual benefit of increasing Third Wave's cash balance to more than $50 million and allowing us to avoid the multi-million-dollar expense of ongoing litigation. The settlement also gives Third Wave the freedom to expand our molecular diagnostic product menu and enables us to focus on what we do best: bringing to market innovative, high-value molecular diagnostics like our FDA-approved HPV products."<<
About time, but alas, the poor lawyers will have to find something else to do.
Cheers, Tuck |
