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Edig is "in" that just like they were/are in Apple, Intel, Fujitsu, etc etc etc.
LL
Now they don't have anything to sell. But I think no one appreciates that did and they COULD have made several large sales to significant entities and been prominently displayed by another company at the largest medical device trade show in the US - and they declined the opportunties. What does that tell you about their true business plan? WE are the target customers, not companies.
LL
I remember that the PPS went down every time there was a settlement or judgment or ruling of any kind. I definitely remember the 1.6M because of the shareholders' expectations that there would be hundreds of millions in settlements, RP's doing nothing to lower those expectations, and EDIG's fostering the idea that there would be over 150 infringers on thousands of products.
I also remember the EDIG acid test - pull out the removable flash and, if it doesn't work, it infringes - oh that was Nunally that said that, right?
EDIG has put nothing on the public record (SEC filings) to support any of the beliefs that any shareholders have. If there are any lawsuits filed they have the markman to contend with and it will be two years before we can get to a new markman. What is EDIG going to do for revenue before then, sell a bunch of Nunchi licenses? Oh, wait, we have to get the patents first before we can sell anything?
Man, I am confused. On the one hand, they are telling us all these great things that are going to happen, on the other, they are telling us all the reasons that they can't happen.
I don't believe ANY of them are going to happen.
LL
Whether it will be proven remains to be seen.
So why can't they go ahead with products that allegedly infringe on only the "strengthened" 774? If in fact DM is "handling" the litigation?
LL
Brad - I agree. The only fair interpretation of "handling" is that the relationship has not been officially terminated.
EDIG is rapidly running out of cards to play.
LL
EDIG SAYS DM is calling the shots. We don't know what is going on or why. Also, even EDIG has made it clear the two patents are not intertwined.
LL
Never, Shareholders should be very concerned that EDIG does not think enough of Nunchi to put it in the SECOND filing. The fact that it is only in the PR, along with comments about "progress", gives them deniability. It's not in the 10 Q because it doesn't exist.
LL
Sorry to disagree. Given fact is that EDIG says this is the reason. Actually it's your interpretation of what EDIG says.
Nothing in what they said prevents litigation on 774 while 737 still in USPTO. IF the company actually wants to earn money for shareholders why wait? 774 is good to go. Hurts only shareholders by waiting.
LL
Brad, So the obvious question: if DM is still "handling" EDIG's litigation where are all those new 774 infringement suits since it has been "strengthened?"
LL
Sorry to burst someone's bubble, but if nunchi were desired by the market the partners would be on board and building their nunchi-fueled devices to rush to retail as soon as possible. EDIG's patents, if indeed unique, would be first in line and there is this thing called "patent pending" that OEms and manufacturers use.
Also, if the interest were there it would be reflected in interest in the stock. No interest there obviously.
LL
Can,t figure if it's 3 or 4 people.
LL
Well - that's good news because EDIG is the master of false starts. And who knows, maybe another baggage handler will walk in - although when two other guys walked in with actual buyers and partners EDIG decided they didn't want to participate.
I like it that he is calling the 2-3 person team working on this a group. I have never understood how a 7 person company can have a separate group.
LL
The tide of shareholders who are getting the true picture is swelling. From another long-time poster:
“To aid in our Nunchi marketing efforts, we have updated our website to better portray the Company’s history and record of innovation, and to communicate to prospective licensees and our shareholders a high level understanding of our Nunchi innovations.”
TRANSLATION: Nobody who saw our tech wanted it.
LL
And counts his money at night.
LL
With regard to DM handling appeals, Fred told another shareholder via email yesterday:
"That language has been in prior filings. It's a general statement regarding our agreement with Duane Morris. There are no appeals in process."
I think it is fair to assume that the entire commentary about DM in the filing is a general statement regarding the original arrangement with DM and as long as they don't officially end it they feel entitled to continue to stick it in there.
Given Never's on-point post re the Markman and the 737, and the ever-diminishing returns on litigation, I remain unconvinced that DM will do any more work for EDIG. I'll believe it when I see it - and even if I see it I will expect even less results than before given the weakened patents and the markman.
Never, I think it is more like 2 years+ for a new markman if in fact anything is ever filed.
LL
How many Nunchi partners did they announce? I missed that part.
LL
Is this a first?
EDIG uses "soon" and "expect" not only in the same sentence, but together in the same sentence.
“Now that the ‘774 patent is out of reexamination and our response to the ‘737 final rejection has been filed with the USPTO, we soon expect to have this process behind us and continue Flash-R litigation efforts,” commented Fred Falk, president and CEO of e.Digital.
1. EDIG and its officers are public entity/figures.
2. Truth is a defense.
3. Was anything I said about Nasdaq, volume sales to healthcare, successful trials, OEMs, etc., untrue in your opinion?
4. An easy way to keep from being accused of equivocating is to state some area in which DM is acting and what that action is. Very common practice for attorneys to state "we disagree with this ruling and will appeal on the following grounds."
LL
Embarrassing.
“To aid in our Nunchi marketing efforts, we have updated our website to better portray the Company’s history and record of innovation, and to communicate to prospective licensees and our shareholders a high level understanding of our Nunchi innovations.”
Falk concluded, “We continue to research and evaluate new opportunities to strengthen our diverse intellectual property portfolio.”
LL
Not at all. I would unequivocally state that EDIG has been dishonest in the past regarding its activities and successes and disingenuous on MANY occasions sliding by on its use of the terms "believe", "expect," "soon," etc. You DO remember Nasdaq, volume sales, successful trials, billion dollar OEM, etc., right?
So what I would say is that the company is equivocating regarding DM by using terms such as "handling" matters without defining the matters, referencing appeals when there don't appear to be any appeals underway, and, in short, doing there best to use a lot of nice-sounding words to say nothing. Five years could go by with things in a state of limbo and no actual litigation taking place while EDIG continues to state that DM is "handling" their litigation. Until one party officially severs the relationship it can continue to exist even if no legal action involving DM ever takes place again.
Classic EDIG. We've seen it before - we'll see it again.
LL
Please let me know when you see some action from DM that confirms this.
LL
Coyote - actually posters on other boards have expressed a LOT of doubt about the Markman and have suggested strategies such as filing in new jurisdictions to circumvent, etc., which doesn't work.
So I think it's safe to say there is no doubt on iHub.
LL
This is really silly. They also left out the fact that every "victory" on patents has succeeded in lowering the PPS. At least they feel they have to acknowledge the Markman's impact on anything they do going forward.
Here's my favorite part - which posters look to in order to claim DM is still an active participant in the drama. (Again, overlooking the fact that everything they have done has lowered the PPS).
"Our legal firm Duane Morris is handling some of our patent enforcement matters and certain related appeals on our Flash-R patent portfolio on a contingent fee basis. Duane Morris also has agreed to advance certain costs and expenses including travel expenses, court costs and expert fees. We have agreed to pay Duane Morris a fee equal to 40% of any license or litigation recovery related to patent enforcement matters, after recovery of expenses, and 50% of recovery if appeal is necessary. "
They are "handling SOME of our . . . matters." What does that mean? EDIG is having conversations with them? DM is giving advice? And not on ALL matters, just SOME? Which ones?
" . . . and certain related appeals . . . " - I'd love to know what appeals. (Please don't ask me to email Fred.) There are NO appeals available in the court system at this point unless there is litigation which is not final somewhere. Maybe I'm completely losing it but haven't all the CO cases been finalized one way or the other? If there is one that doesn't have a final judgment or settlement then DM would have 30 days from the date of finality to file an appeal and cite alleged Markman errors as the basis of any such appeal. I can't remember any that are not final. So what appeals are they talking about? And if they were planning to appeal that Markman they would probably have about as much success as in the original Markman case, which they lost.
Are there administrative appeals in the USPTO process pending? And is DM counsel of record in those matters?
When I see some real action from DM in the form of a filing of some sort then I will deem "handling" to mean "litigating."
Oh, aside from this issue it was a truly great 10-Q - they are knocking it out of the park on licensing, EVU sales (are they kidding us? EVU?) and all other areas of revenue.
LL
I don't believe they have anything to sell; and I can look at the history of patent litigation and tell you it is a downward graph with the added burden of a weakened patent and a bad markman. Each "settlement" had lowered the PPS.
Draw your own conclusions.
LL
If EDIG had anything to do with Apple do you think the stock would be under .03 with no volume? Hmmm. If I had to guess I would say there are a zillion "developers" with Siri-like features - or "nunchi" like features.
LL
Why would the share price go up to $1.00 ? What revenue is EDIG going to create on an ongoing basis that would justify that price?
Why would the share price go up to $.10 ? What revenue is EDIG going to create on an ongoing basis that would justify that price?
If it ever goes to a nickel again I'll be surprised personally. But as Coyote astutely says, no one knows one way or the other. (Although $1.00 is ludicrous - in my opinion of course.)
LL
What? Are you serious? What about 737 ?
LL
Well said Coyote - and not just because I agree with you - EDIG , me, Dischino, etc., do not make the rules here. The courts and the administrative bodies do. (As we have painfully seen.)
LL
So smaller settlements means we will be paying the defendants instead of the other way around?
When I see DM filing another round of litigation I'll revisit my thinking on this.
LL
What statements from the SHM?
You are not serious about why she did not rule on 737 are you?
LL
We will know once we see DM spending their own nickel to launch another round of litigation based on this patent. Again, I can't see why they would do it given that the judge asked averyone "if I rule against EDIG on Claims 1 and 2 is that dispositive?" and all said yes, it is.
So how do they overcome the markman now?
LL
Never, for the life of me I can't see how even EDIG thinks the patents have been strengthened. Can you see any areas from where this "belief" would arise?
LL
It looked to me like you had a lot of commentary in another post about noise, future and negative nonsense and DM doing their thing.
You said that the result was that the patent was weakened in some areas and strengthened in others. I have asked, but have seen no answers, on how the patent was strengthened. The RAM issue and the Markman kill it as far as I can see. Can someone name some products they think infringe the "strengthened" patent?
LL
The company expects, but cannot assure . . . those are the operative and important parts of that sentence, not that they deleted a word. They also expected and could not assure that we would be listed on Nasdaq, etc., etc., etc. What EDIG says is meaningless.
Let's see if DM takes this and files new litigation. If they didn't appeal the markman before I think I know what they think their chances are - very poor. The markman looms and no one wants to talk about it.
And whether or not EDIG says anything about the future, you might want to read some caselaw about future infringement after a patent has been re-esamined and look at the lifetime enforceability of a patent, which only has a few more years to go in this case.
LL
Tim, appeal of what? There is no appeal of any litigation available to EDIG. The deadlines are long gone.
Why would anyone want to buy EDIG? What do they have of value?
Last, if there is a bounce up to .10 I'll send you a bottle of nice wine with my $$ from selling.
LL
Pam, that is correct. It has been posted in multiple places but seems to have had little effect.
LL
EDIG is in a world of hurt - why do you think they are trying to focus investor attention on nunchi, which has onnly ever appeared in a starring roled in a film.
LL
I can only speak for myself but I am excited because even if there are no dots to be connected among these companies, and even if no one has ever seen a real nunchi or a real anything using nunchi, and even if no one can describe anything nunchi can allegedly do that is attractive enough to hook a partner or create revenue, EDIG might make another film to show to shareholders and we can call it a demo and think happy thoughts.
All in my opinion of course.
LL
I'm not nearly as smart as these guys posting all these articles which clearly have to do with EDIG's impending success, but I've been reading EDIG-speak for 12 years now!
LL
That would fall under the category of "actively communicating with potential partners."
LL