SOURCE: Decision Diagnostics Corp.

Decision Diagnostics Corp.

August 01, 2013 09:15 ET

Decision Diagnostics Subsidiary Makes Move and Sues Two Johnson and Johnson Divisions for False Advertising in Ongoing Battle

LOS ANGELES, CA--(Marketwired - Aug 1, 2013) - Decision Diagnostics Corp. (OTCBB: DECN), the exclusive worldwide sales, service and regulatory processes agent for the Shasta GenStrip™, the Green Glucose Test Strip, specifically designed to work with Johnson & Johnson's (NYSE: JNJ) LifeScan Ultra family of glucose testing meters, announced today the filing of counterclaims by its subsidiary Pharma Tech Solutions, Inc. for false and misleading advertising against two of Johnson & Johnson, Inc. ("J&J") wholly owned subsidiaries, Lifescan, Inc., and Lifescan Scotland, LTD (collectively "Lifescan"). The company and its Pharma Tech Solutions, Inc. ("Pharma Tech") subsidiary have been in patent litigation with the Lifescan subsidiaries since September 2011.

J&J's wholly owned subsidiary Lifescan manufactures and sells blood glucose monitoring systems, which include meters and test strips, under the OneTouch® Ultra® brand name. Lifescan is the market share leader in the at-home glucose testing market. The company's Pharma Tech subsidiary competes directly with J&J Lifescan in the market for at-home glucose test strips by offering the Shasta GenStrip, a unique diagnostic testing strip, that has received FDA clearance for at-home use with certain OneTouch® Ultra® meters. The GenStrip is a lower-cost alternative to the OneTouch® Ultra® test strip that works with specific OneTouch® Ultra® meters and costs significantly less than the J&J Lifescan product.

In 2012, immediately following FDA clearance of the GenStrip, Lifescan moved the Federal District Court to enjoin sales and distribution of the competitive GenStrip. While a Federal District Court for the Northern District of California granted Lifescan a preliminary injunction, the Federal Circuit Court quickly stayed the injunction and the matter currently awaits a near term ruling.

Today, Pharma Tech seeks leave from the District Court, in the court room of a judge new to the aforementioned September 2011 case, to amend its counterclaim against J&J Lifescan, based on anti-competitive actions by Lifescan, so that a claim for false advertising can be added.

J&J Lifescan promotes its OneTouch® Ultra® system as having "Double Sure technology," which supposedly "automatically checks... each blood a sample twice to assure that [the user is] receiving the most accurate results." By this representation, J&J Lifescan falsely conveys to consumers that its OneTouch® Ultra® system provides more accurate results than the competition, including the GenStrip. By virtue of proposed amendment to its counterclaim, Pharma Tech intends to prove that this representation is misleading and untrue and that OneTouch® Ultra® system actually likely provides less accurate results than much of its competition.

DECN's Pharma Tech subsidiary is a leading provider of prescription and non-prescription diagnostics, home testing products for the chronically ill and a premier developer of revolutionary cell phone centric e-health products and technologies. The FDA cleared Shasta GenStrip™ product was first introduced to the market in late 2012 as a lower cost (50%) alternative for user/owners of the J&J LifeScan OneTouch® Ultra®, Ultra2® and Ultra Mini® glucose meters.

Forward-Looking Statements:
This release contains forward-looking statements about our business or financial condition that reflect our assumptions and beliefs based on information currently available. We can give no assurance that the expectations indicated by such forward-looking statements will be realized. There may be other risks and circumstances that we are unable to predict. When used in this release, words such as "believes," "expects," "forecasts," "intends," "projects," "plans," "anticipates," "estimates," "will" and similar expressions are intended to identify forward-looking statements, although there may be certain statements not accompanied by such expressions.

For further information about Shasta Genstrip, please visit the company's Web Sites: http://www.decisiondiagnostics.com or http://www.shastagenstrip.com. The company's Genstrip videos can be viewed at http://www.pharmatechdirect.com. A new video is currently in production.

GenStrip test strips are a product of Shasta Technologies, LLC and are not manufactured, distributed, endorsed, or approved by nor associated with LifeScan®, Inc. a Johnson & Johnson® Company, manufacturers and distributors of the OneTouch® Ultra® Family of Meters and OneTouch® Ultra® test strips.

Contact Information

  • Contacts:

    Keith Berman
    Secretary and CFO
    info@decisiondiagnostics.com
    2660 Townsgate Road
    Suite 300
    Westlake Village, CA 91361
    Ph: 805-446-2973
    Fax: 805-446-1983