A Medical Device Daily
Masimo (Irvine, California) reported that it has filed a patent infringement suit against Philips Electronics North America (Andover, Massachusetts) and Philips Medizin Systeme Boblingen (Boblingen, Germany) related to Philips' FAST pulse oximetry technology and certain Philips patient monitors.
The suit was brought in the U.S. District Court for the District of Delaware. According to Masimo, two of the patents at issue in this suit, related to the company's measure-through-motion technology, were enforced in a previous suit by Masimo against Nellcor (Boulder, Colorado).
"Given that Philips and Masimo have a long-term business relationship, we have patiently tried to resolve our differences regarding Philips' infringement of Masimo's patents without seeking the courts' intervention," said Joe Kiani, founder/CEO of Masimo. "Unfortunately, since our best efforts have not been successful, we believe we have no choice but to rely on the courts to resolve this dispute."
Masimo and Philips continue to be engaged in a long-term OEM agreement. Masimo said it intends to comply with the terms of the agreement, continuing to provide Philips with Masimo SET technology for integration into Philips monitoring products, to the benefit of both companies' mutual customers.
Masimo develops monitoring technologies. In 1995, the company debuted Measure-Through Motion and Low-Perfusion pulse oximetry, known as Masimo SET, which virtually eliminated false alarms and increased pulse oximetry's ability to detect life-threatening events, the company said.
In other legalities, the Securities and Exchange Commission reported that on Jan. 21 Daniel Hurley, U.S. District Court for the Southern District of Florida, entered a final judgment setting disgorgement and civil penalty against Stanley Wasser. The final judgment, entered by Wasser's consent, orders him to pay $387,841 in disgorgement and $33,074 in prejudgment interest.
Based on Wasser's sworn statement of financial condition and other documents submitted, the court waived all prejudgment interest and all but $64,500 of disgorgement, and did not impose a civil penalty, the SEC said. The order also provided for a payment plan beginning ten days after entry of the final judgment.
According to the SEC, on Aug. 23, 2004, Wasser consented to the entry of a judgment permanently enjoining him from violating Sections 5(a), 5(c), 17(a)(1), 17(a)(2) and 17(a)(3) of the Securities Act of 1933, Sections 10(b) and 15(a)(1) and Rule 10b-5 of the Securities Exchange Act of 1934. In addition, he is barred from participating in any offering of a penny stock, the SEC noted.