Thursday, 18 September 2008

A Third Strike for Star?



AeroMechanical Services Ltd.,(TSX:V-AMA)
Basic Shares: 82.5 million
Fully Diluted: 88 million

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Some of the legal and regulatory darts Star Navigation fired at AeroMechanical (AMA) missed by a country mile and are now headed boomerang like back to Star, according to a Sept. 18th, AMA press release.
The game turning event occurred after the United States Patent Office (USPO) rejected Star's challenge of the validity of AMA's patent.
The USPO sided with AMA when it concluded AMA's '630 Patent was valid as originally issued.
Now, the question is how can Star carry on with its patent infringement lawsuit against AMA when the USPO has stated, in essence, that AMA's '630 Patent stands alone and apart from Star's '852 Patent?
In answer to that question, AMA's lawyers concluded that the USPO ruling supports their long-held contention that there is no patent infringement because the two patents are as different as night and day.
Therefore, AMA's lawyers have renewed - for the third time - an application to dismiss Star's patent infringement lawsuit.
Two other court applications to have Star's case dismissed on technical grounds were successful. Star managed, however, to correct the technical defaults and refile its case.
However, Star might not be so lucky a third time now, according to AMA's lawyers.
Paraphrasing its lawyers, AMA wrote in its news release:
"The Patent Office's ruling has dealt a significant blow to Star because it demonstrated not only the validity of AMA's patent but also the substantial differences between AMA's products and Star's '852 Patent."
"The ruling completely undermines Star's ongoing patent infringement case," the news release concludes.