Settlements
posted on
Oct 30, 2008 07:24AM
Let’s think about what we know and what is important.
DM is still part of the team, they have had success with one company which has settled and they currently have 7 lawsuits filed but without any resolution yet.
There is a strong probability that there remains an additional 170+ suits to be filed in the future, could be 1-5 years or more. We see no reason to expect DM to dissolve their relationship with edig as the patent validity has been established as a result of the initial settlement, however not officially by law.
Edig management has indicated that more settlements will be resolved before the markman hearing, scheduled for 2010. This may not happen due to the Vivitar bankruptcy, however could be changed and happen sooner using one of the other 6 lawsuits.
RP, at the recent shareholders meeting, stated that they expected to conclude one or more settlements in the not to distant future. This may be defined as 3 months to 1 1/2 years. Somewhat of a speculation.
For the first time in ten years, we see an opportunity to generate substantial income providing all with generous returns on their investment.
It would be nice to see quarter to quarter growth for the next 3-15 months, but the important issue is that the patent monetization plan has become a reality and in the end we will be rewarded.