CV Sciences Inc (CVSI)

[Deetew]

CRITICAL INFO ON PATENTS:

Source:
THE MATERIALITY STANDARD FOR INTELLECTUAL PROPERTY DISCLOSURES by Robert S. Thomas

"Misstatements About the Status of a Patent Application Information regarding the status of a patent application can often strongly influence the value of a corporation's stock. This information is especially important when a patent application is a company's sole asset, since misstatements about the status of the patent application under these circumstances can significantly affect the value of the company's stock."

"The holding in Alna, however, seems to indicate that the status of a patent application for an invention that is of singular importance to a corporation’s viability will be material: even status about an initial rejection of the patent application."

"If a patent application is undergoing prosecution, however, it may be prudent for a corporation not to mention facts regarding that patent application at all until a final allowance or rejection on the merits has been received, so long as that patent application is not entwined with the success of the corporation."

Okay... So, is CVSI's final rejection really final since it's being appealed? Look here and find out:

Source:
Title 37 - Code of Federal Regulations Patents, Trademarks, and Copyrights

"The finality of the subsequent final rejection is automatically withdrawn upon the timely filing of the submission and payment of the second fee set forth in § 1.17(r) ."

Out of curiosity, what does 1.17(r) say?

Source:
1.17 Patent application and reexamination processing fees.

"(r) For entry of a submission after final rejection under § 1.129(a) :
By a micro entity (§ 1.29)......$210.00
By a small entity (§ 1.27(a))......$420.00
By other than a small or micro entity......$840.00"


My "Final" words: This patent is currently still being appealed, and it's not critical to the success of the company. As you can see from the patent rules, a final rejection is not really final when it's being appealed, so Citron Research provided investors with a half-truth and can most likely be countersued for providing misleading information to shareholders which caused the stock to tank. Investors of CVSI, having already been in a fragile mental state due to SEC action against Mona in 2017, may have sold off 63% of shares because they were concerned about the credibility of the company --not necessary due to the status of a patent that has produced zero revenue for CVSI. Considering the fact that Andrew Left of Citron Research failed to disclose that the patent was still pending under appeal which negates its final rejection status (according to USPTO rules seen above), Andrew Left could soon be in big trouble for misleading CVSI investors into a huge sell-off.

So, what do you all think judging by the research I provided? Is CVSI guilty, or is Andrew Left of Citron Research guilty? When is that countersuit going to be filed?