FORT MYERS, FL -- (MARKET WIRE) -- March 02, 2007 -- Innova Robotics & Automation, Inc. (OTCBB: INRA), a robotics technology firm, today announced Robotic Workspace Technologies, a wholly-owned subsidiary has reached a settlement of its lawsuit with ABB Inc. of Auburn Hills, Michigan and ABB Automation Technologies AB of Vasteras, Sweden. The case, which was pending before the United States District Court for the Middle District of Florida, Fort Myers Division, Civil Action No. 2:04-cv-611-FtM-29SPC, involved claims that the ABB companies misappropriated certain trade secrets relating to RWT's Universal Robot Controller technology and had breached an April 2002 Confidentiality Agreement.
Walt Weisel, Chairman and CEO of Innova Robotics & Automation, Inc., said, "We are pleased that this matter has been resolved. Looking forward, we believe we are on course to continue our innovations and worldwide growth in this exciting field of robotics."
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About Innova Robotics & Automation, Inc.
Fort Myers, Fla.-based Innova Robotics & Automation (OTCBB: INRA) pioneers innovative control, software and communication solutions that make robotics and automated systems more productive, powerful and profitable for customers in the telecommunications, manufacturing, aerospace, research, and service industries. The Company is chartered to continue expanding its growing suite of technologies through acquisitions and organic growth. Innova operates through three subsidiaries, Robotic Workspace Technologies (RWT), CoroWare Technologies, and Innova Robotics, which offer convergent technology and expertise that bridge robots, facilities and business systems for greater functionality and ROA. Visit Innova online at www.innovaroboticsautomation.com.
Forward-looking statements such as "believe," "expect," "may," "plan," "intend," etc., contained herein are within the meaning of the Private Securities Litigation Reform Act of 1995. These statements involve risks and uncertainties and are based on the Company's beliefs and assumptions it made using information currently available to it and which reflect current views concerning those future events. Actual results could differ materially. Therefore, undue reliance should not be placed on any forward-looking statements, since they apply only as of today's date, and accordingly, reference should be made to the Company's periodic filings with the SEC.
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Entry into a Material Definitive Agreement, Financial Statemen
Item 1.01. Entry into a Material Definitive Agreement. As previously disclosed in the periodic reports of Innova Robotics & Automation, Inc. (the "Company") filed with the Securities and Exchange Commission, on December 9, 2004, the Company's wholly owned subsidiary, Robotic Workspace Technologies, Inc. ("RWT"), filed an action (the "Action") in the United States District Court for the Middle District of Florida (the "Court") entitled Robotic Workspace Technologies, Inc. v. ABB, Inc. and ABB Automation Technologies AB, Case No. 2:04-cv-611-FtM-29SPC. The Action alleged misappropriation and theft of trade secrets, breach of contract, and breach of an implied warranty of good faith. The Action stemmed from dealings between the parties in 2002.
On February 23, 2007, RWT entered into a Settlement Agreement (the "Settlement Agreement") dated as of February 20, 2007 with ABB, Inc. and ABB Automation Technologies AB (collectively, "ABB") in which ABB agreed to make a settlement payment to RWT in the amount of $2,925,000 no later than March 2, 2007 in exchange for RWT filing a Stipulation of Dismissal with the Court to dismiss the Action with prejudice. In addition, the parties agreed to forever settle, resolve and dispose of all claims, demands and causes of action asserted, existing or claimed to exist between the parties because of or in any way related to the Action.
On March 2, 2007, the Company issued a press release announcing the entry into the Settlement Agreement with ABB, a copy of which is attached hereto as Exhibit 99.1.
In accordance with General Instruction B.2 of Form 8-K, the information in this Current Report on Form 8-K, including Exhibit 99.1, shall not be deemed to be "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to the liability of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Act or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.
Item 9.01 Financial Statements and Exhibits. (a) Financial statements of business acquired.
(b) Pro forma financial information.
10.1 Settlement Agreement dated as of February 20, 2007 by and among Robotic Workspace Technologies, ABB, Inc. and ABB Automation Technologies AB.
99.1 Press Release of Innova Robotics & Automation, Inc. dated as of March 2, 2007.
Posts: 572 | From: usa | Registered: Aug 2006
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Jo, I had a sell order in at .29 figuring a modest gap down. No such luck. I don't think it makes sense to sell at this level. I'm going to see what happens the next couple of weeks. Interesting post on IHUB. A royalty announcement or something big demonstrating the true price ABB is paying for the patent infringement could seriously piss off those that sold around .20 today in the very near future and turn this thing 180 degrees from today's overreaction...
1. The first and most important: It's recognized that RWT is the sole owner of trade secret. It also proved the validity of the technology RWT owns. Since the technology has already incorporated into ABB's product lines, ABB has to pay royalties starting from February 20, 2007. This part is already implied by the expression in this paragraphs. It does not have to be stated explicitly. How about those years since 2002 to last Friday, my guess is they have to pay RWT indirectly. My understanding is this: if ABB pay royalty for the past, it will become a fact that ABB infringed RWT's patents.
2. Section 9 is very interesting. It states that both parties should maintain confidential the terms of agreement, except legally required by SEC to minimize the exposure, in this case the only publicity is the PR Friday. The last Friday's PR was carefully crafted by and agreed by both parties. My whole impression of this section is that ABB was trying to muffle the negative effect by this lawsuit and settlement. ABB has to pay big price to RWT for not making big deal out of this settlement. THer will be no more PR related to this settlement from either party, as clearly stated in the agreement.
3. The tone of language of agreement and the only PR is very nice and positive, underlining possible working-together of both parties in the future. If you read enough settlement agreements, you will feel the difference.
4. As I stated in 1, RWT's technology is already welded into ABB's product line, there is no way or no reason for ABB to stop making profit from those products. Such a decision will not only affect company's profit but also affect customer satisfaction. So paying royalty for RWT's patent is a sure thing. Further more, the price and execution details should also be negociated and a agreeemnt is reached prior to the settlement. RWT must make sure that all the details worked out because they don't want be screwed again. The number must be so attractive that Walter can not refuse. My guess is that next PR could be royalty annoucement. Legally this one is isolated event from the settlement, as long as related to prior event, i.e. the patent infringement.
5. After last few years restructuring, ABB now is in the aquisition mode. RWT has technology and IP ABB wanted for their business growth, and could be a good candidate for aquisition. Today's PR of RWT's future acquisition could be a step to form a complete line of R&D, production ans service for RWT. This cou8ld make the checklist for acquisition looks perfect.
The company's future is bright ans we will be rich.
Posts: 287 | Registered: Mar 2005
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