LOS ANGELES, CA--(Marketwired - Mar 16, 2016) - Decision Diagnostics Corp. (OTC PINK: DECN), the manufacturer, quality plan administrator and the exclusive worldwide sales, service and regulatory processes agent for GenStrip™ 50 and the GenUltimate™ glucose test strip, both designed to work with the market leading Johnson & Johnson's ("J&J") LifeScan OneTouch Ultra family of glucose testing meters, and the in-development GenSure™ glucose test strip targeted to the developing world markets, today announced that on March 14, 2016 its wholly owned subsidiaries, Decision IT Corp. and Pharma Tech Solutions, Inc., had filed a lawsuit in the United States District Court, District of Nevada, in Las Vegas, NV against Johnson & Johnson and its divisions Lifescan, Inc. and Lifescan Scotland Ltd. (hereafter: Lifescan) stipulating multiple incidences of infringement against two separate patents owned and/or practiced by the company's subsidiaries. The company is seeking compensation and damages in the amount of $400-$700 million.
The central issues in our patent infringement case concern the following features:
- A test strip that features three electrodes with two operating through the utilization of the same reference electrode,
- A test strip and meter in which multiple readings are taken at each of the two working electrodes over a small period of time, making use of the Cottrell equation,
- The test strip technology that compares the measurements between the two working electrodes to assure that each are within a fixed percentage
These technological features have enabled and propelled the success of the Lifescan OneTouch Ultra blood glucose test system throughout the global diabetic test marketplace. They have achieved an annual windfall of $2 billion in gross revenues in each of the last six years.
Each of those identified fundamental features above are covered by US Patents 6,153,069 and 6,413,411. Both of those patents are fully owned by the Decision Diagnostics subsidiary, Decision IT and practiced by Pharma Tech Solutions, Inc.
Keith Berman, Principal Executive of Decision Diagnostics, the parent corporation of Decision IT Corp. and Pharmatech Solutions, Inc. commented, "It is with great regret that we are now forced to confront J&J/Lifescan with our discovery of their multiple violations of the integrity of our justly awarded patents. Nonetheless, it is incumbent on us as responsible professionals to alert the diabetic patient market of these gross violations of legality. It is also our sacred fiduciary responsibility to all of our shareholders to seek appropriate compensation to rectify this now lengthy period of ongoing patent infringement."
The company's nationally prominent patent legal counsel, responsible for a series of conclusive successive legal victories over the last three years against J&J/Lifescan, has strongly recommended pursuit of this legal action after extensive review of all the related patents. It is their informed opinion and that of other experts that J&J/Lifescan's patent violations are so clear and so egregious that there is no other course for our companies to pursue. The companies have filed for, and are entitled to, a court awarded compensation of at least $400 million, and perhaps as much as $700 million.
Mr. Berman concluded, "J&J/Lifescan has prosecuted its illicit and extra-legal campaign against our products and company for 4+ years. We have weathered every storm and won each of the critical legal confrontations. We will continue to battle and win on those fronts. This filing against J&J/Lifescan will no doubt be cause for personal vindication amongst our shareholders. Although, our actions do possess a semblance of retributive justice, it is greatly disappointing that an entity of their magnitude would be reduced to appropriating the technological breakthroughs of others to achieve their own financial objectives.
"The judgment from this litigation will undoubtedly properly readjust their attainment of those objectives. It is important to note that although amply justified, we will not pursue similar underhanded and legally questionable threats of intimidation against their customers or the customers of their customers should these entities purchase the Lifescan patent violated product during the course of this litigation, as Lifescan/J&J repeatedly did to our customers and the customers of our customers. We have always tried to maintain higher standards of integrity and expect to continue to do so."
This release contains the Company's forward-looking statements which are based on management's current expectations and assumptions as of March 14, 2016, regarding the Company's business and performance, its prospects, current factors, the economy and other future conditions and forecasts of future events, circumstances and results.