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Technology Stocks : CDMA, Qualcomm, [Hong Kong, Korea, LA] THE MARKET TEST!
QCOM 174.770.0%9:30 AM EST
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To: Maurice Winn who wrote (1273)12/12/1996 6:58:00 AM
From: STAN SEGAL   of 1819
 
Maurice,I'd like to pick up on what Jim Lugio had to say.Those who are exuberant over the law suits have never been in court. We were all wondering what Erickson meant when it said the filing was for "tactical" purposes. The Tactical Purpose is indeed to put the case in front of a jury who may hear nothing more (or understand nothing more) than the fact that an Ericson win means jobs for Texas. The fact is that it is very unlikely that the Qualcomm suit will be permitted to stay in California. Since the first action was filed in Texas, it is probable that Qualcomm's suit will be transferred there. There is the possibility of a neutral district being chosen by the court, but that is clearly an unknown. As for the Oki case, we now know its been around about two years. Normally, an attempt to intervene in a case that is so close to trial is denied by the court. So, Qualcomm may not be permitted to do anything more than provide witnesses in that case. Under any circumstances, if this thing drags through the courts, there may be 2-3 years of uncertainty--just what the investors don't want. Clearly, settlement is in Qualcomm's best interest. Having said all of that, it's agreed that Qualcomm must hang tough and arrive at a settlement that it can live with.
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