Blob doesn't put out factual PR's
in a hurry to get the PR out that the case would be re-heard. Not so much of a hurry once he loses
July 02, 2013 08:35 ET
MyMedicalRecords Wins Appeal to Proceed to Collect $30 Million From Surgery Center Management
LOS ANGELES, CA--(Marketwired - Jul 2, 2013) - MMRGlobal, Inc. (OTCQB: MMRF), through its wholly owned subsidiary MyMedicalRecords, Inc. (collectively, "MMR"), today announced that pursuant to an order dated July 1, 2013, the Appellate Court dismissed an appeal by Surgery Center Management, LLC ("SCM") filed May 17, 2012. Accordingly, the case will be remanded back to Superior Court where MMR will pursue its claim for breach of contract against SCM, seeking as much as $30 million in damages. The appeal was filed in the Second Appellate District, Division Eight. The decision of the Court was decided without oral argument by the parties giving MMR a green light to move forward with the case in the trial court. The Court of Appeal ruled on the written briefs alone which MMR believes vindicates its position that there never was a valid basis for the appeal and it was nothing more than a stalling tactic by SCM.
According to Robert H. Lorsch, MMRGlobal CEO, "MyMedicalRecords looks forward to proceeding with the case on the merits before the Los Angeles Superior Court where we will pursue claims for breach of contract, seeking as much as $30 million in damages. MMR believes there is no viable defense to SCM's breach of the agreement at issue. As of this date, SCM already owes MMR more than $15 million, plus interest and penalties."
The case stems from a December 9, 2011 Non-Exclusive Settlement and Patent License Agreement ("Agreement") whereby SCM contracted to pay MMR an initial payment of $5 million payable on December 23, 2011, and additional payments of $5 million per year for five consecutive years, to license certain of MMR's health IT and Personal Health Record patents covering uses of MMR's personal and professional health IT products and services. On January 19, 2012, MyMedicalRecords, Inc. filed a lawsuit in the Superior Court of the State of California for the County of Los Angeles for breach of contract and damages in an amount of $30 million. On September 19, 2012, the Company engaged the law firm of Liner Grode Stein Yankelevitz Sunshine Regenstreif & Taylor LLP ("Liner") to represent MMR in the matter. The Agreement contains an arbitration clause, and non-binding arbitration proceedings have been completed. However, SCM filed an appeal pertaining to the Arbitration provision anyway which MMR learned it won yesterday, July 1st.
MMR believes its claim against SCM continues to be collectible based on a series of publicized settlements involving SCM pertaining to other matters. MMR also believes that SCM and affiliates of SCM continue to operate throughout California and other parts of the United States. As of this date, SCM has a past due balance of nearly $15 million owed to MMR including interest and penalties. The Agreement between MMR and SCM also includes the settlement of any potential claims by MMR against SCM and its affiliates for any past patent infringement.
MMR is a leading provider of Personal Health Records ("PHRs"), MyEsafeDepositBox storage solutions and electronic document management and imaging systems for healthcare professionals. MMR currently has seven U.S. health information technology (HIT) patents and continuation applications and pending patents covering inventions pertaining to Personal Health Records, Patient Portals and other Electronic Health Record systems. On June 19, 2013, MMR received a Notice of Allowance, application number 13/714,720, from the United States Patent and Trademark Office entitled "Method for Providing a User with a Service for Accessing and Collecting Prescriptions," which will become MMR's eighth patent in its U.S. health IT patent portfolio. The Company also has HIT patents issued or pending in 12 other countries of commercial interest including Australia, Singapore, New Zealand, Mexico, Japan, Canada, Hong Kong, South Korea, Israel, and European nations. Additionally, MMR acquired biotechnology intellectual property separate from its health IT portfolio as a result of a reverse merger with Favrille, Inc., a biopharmaceutical company, in January 2009. After investing more than $100 million in research and development on its FavId™/Specifid™ vaccine trials and use of customized tumor cells to treat lymphoma patients and other technologies. MMR's biotech assets include an extensive portfolio including its anti-CD20 monoclonal antibodies, data from vaccine trials, thousands of patient tumor samples, and other intellectual property which MMR has already licensed to a major pharmaceutical company under a $13 million non-exclusive licensing agreement.
