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Oak Technology Brings Lawsuit Against United
Microelectronics Corporation for Breach of Contract and
Fraudulent Misrepresentation
Business Wire - December 08, 1997 08:02
%OAK-TECHNOLOGY OAKT %CALIFORNIA %FLORIDA %TEXAS %MASSACHUSETTS %COMPUTERS
%ELECTRONICS %COMED %INTERACTIVE %MULTIMEDIA %INTERNET V%BW P%BW
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SUNNYVALE, Calif.--(BUSINESS WIRE)--Dec. 8, 1997--Oak Technology, Inc.
(NASDAQ:OAKT), a Silicon Valley semiconductor manufacturer, today announced that it
commenced an action on December 4th in the United States District Court for the Northern
District of California against United Microelectronics Corporation for breach of the Settlement
Agreement it entered into with Oak on July 31, 1997, to resolve a patent dispute and for
fraudulent misrepresentations made by UMC during the course of the settlement negotiations.
Specifically, the Complaint alleges that UMC has breached the Settlement Agreement by
continuing to manufacture and/or sell infringing devices through an entity known as MediaTek. In
connection with the Complaint, Oak has filed a Motion for a Preliminary Injunction seeking to
immediately enjoin UMC from selling any infringing devices to or through MediaTek.
The Settlement Agreement arises out of a complaint Oak filed with the United States International
Trade Commission (ITC) on July 21, 1997, accusing UMC and eight other CD-ROM drive and
controller companies of importing or selling CD-ROM drive components that infringe Oak's
patents. The complaint requested the ITC to issue an order barring imports into the United States
of the companies' allegedly infringing products and products containing them, including CD-ROM
drives and personal computers. Oak had asserted in the complaint that UMC had infringed its
U.S. Patent No. 5,581,715. The '715 patent describes an invention allowing CD-ROM drives to
communicate through integrated drive electronics which are common equipment in personal
computers and eliminate the need for special host adapter cards and associated interface
electronics to allow a computer to locate and read data from a CD-ROM.
Oak, which is headquartered in Sunnyvale, California, is a leading U.S. manufacturer of CD-ROM
controllers, which are essential components of the CD-ROM drives found in personal computers
and other products.
ABOUT OAK TECHNOLOGY:
Founded in 1987, Oak Technology, Inc. designs, develops and markets high-performance
multimedia semiconductors and related software to original equipment manufacturers worldwide
who serve the PC, consumer electronics and digital office equipment markets. The company has a
software design center in Boca Raton, Florida; a mixed signal design center in Austin, Texas; and
subsidiaries in Japan (Oak Technology, K.K.), Taiwan (Oak Technology Inc., Taiwan), and
Andover, Massachusetts (Pixel Magic, Inc.). The Company completed its initial public offering in
February 1995. Additional information about Oak Technology and its products can be found on
the World Wide Web at www.oaktech.com .
Note to Editors: Oak Technology and the Oak logo are registered trademarks of Oak
Technology, Inc. Pixel Magic is a trademark of Oak Technology. All other product names and
company names are for identification purposes only and may be trademarks of their respective
owners.
CONTACT: Oak Technology, Inc.
Supriya Venkat, 408/328-6899, Investor Relations |
