Counsel Corporation
TSX : CXS

Counsel Corporation

June 16, 2008 13:43 ET

Counsel Subsidiary, C2 Global Technologies, Receives Favourable Claim Construction Ruling in Patent Litigation

TORONTO, ONTARIO--(Marketwire - June 16, 2008) - Counsel Corporation ("Counsel") (TSX:CXS) is pleased to announce that a United States federal court issued a claim construction ("Markman") ruling on June 13, 2008 in the pending patent litigation between its 92%-owned subsidiary, C2 Global Technologies Inc. ("C2"), (OTCBB:COBT) and defendants Qwest Communications, Global Crossing, and Level 3 Communications.

Magistrate Judge Charles Everingham of the United States District Court for the Eastern District of Texas, Marshall Division, rejected the claim constructions of the defendants on each of the nine disputed claim terms. The Court construed six of the disputed claim terms in the manner originally proposed by C2, and on three of the claim terms adopted a construction that had not been proposed by either side.

"We are pleased with the Court's claim constructions in every respect," said Allan Silber, Chairman and CEO of Counsel and C2.

In June 2006, C2 Communications Technologies Inc., a wholly-owned subsidiary of C2, filed a patent infringement lawsuit against AT&T, Inc., Verizon Communications, Inc., Qwest Communications International, Inc., Bellsouth Corporation, Sprint Nextel Corporation, Global Crossing Limited, and Level 3 Communications, Inc. The complaint was filed in the Marshall Division of the United States District Court for the Eastern District of Texas and alleges that the defendants' services and systems utilizing Voice over Internet Protocol ("VoIP") infringe C2's U.S. Patent No. 6,243,373 entitled "Method and Apparatus for Implementing a Computer Network/Internet Telephone System". The complaint seeks an injunction, monetary damages and costs. The complaints against AT&T, Verizon and Sprint have been settled by entering into Settlement and License Agreements and the complaint against Bellsouth was dismissed without prejudice. The case is scheduled for trial beginning September 2, 2008.

About Counsel Corporation

Counsel Corporation (TSX:CXS) is an international asset management firm that actively partners with businesses to achieve shared success and to unlock value through leveraging our relationships, our access to capital and our strategic market experience. For further information, please visit Counsel's website at www.counselcorp.com.

About C2 Global Technologies Inc.

C2's business is focused on licensing its patents, which include two foundational patents in VoIP technology. C2 plans to realize value from its intellectual property by offering licenses to service providers, equipment companies and end-users that are deploying VoIP networks for phone-to-phone communications. C2 also invests in Internet-based e-commerce businesses. For further information, please visit C2's website at www.c-2technologies.com.

Forward-Looking Statements

The statements made in this release that are not historical facts contain forward-looking information that involves risks and uncertainties. All statements, other than statements of historical facts, which address Counsel's expectations, should be considered as forward-looking statements. Such statements are based on knowledge of the environment in which Counsel currently operates, but because of the factors listed herein, as well as other factors beyond Counsel's control, actual results may differ materially from the expectations expressed in the forward-looking statements. Important factors that may cause actual results to differ from anticipated results include, but are not limited to, obtaining necessary approvals and other risks detailed from time to time in Counsel's securities and other regulatory filings.

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