SANTA MONICA, CA--(Marketwired - December 08, 2015) - Max Sound Corporation, (OTCQB: MAXD) inventors of MAX-D HD audio solutions, and worldwide license holder of the patented Optimized Data Transmission technology today withdrew its Claims against Google in Mannheim, Germany, and instead will seek additional monetary and other relief from VSL and affiliated individuals and entities for breach of the License Agreement with MAXD granting it rights to the patented ODT technology.
On Friday December 4, 2015 a California Superior Court Judge ruled in MAXD's favor and again confirmed an Emergency Arbitration Award against VSL which upheld MAXD's rights under the License Agreement. In particular, the Arbitrator upheld MAXD's rights and ruled that VSL is enjoined from: 1) disavowing the validity of the Contract (with MAXD); 2) altering any corporate or other entities formed, owned or controlled by VSL that has any connection with the Contract; or 3) licensing, selling, assigning or transferring, any of the technology, patents, or intellectual property, connected to the Contract in any manner, and is required to cooperate with the pending ODT enforcement litigation and fulfill its contractual obligations. Further, the contract obligates VSL to manage and keep all intellectual property rights current and in good standing. Yet, VSL just yesterday, again violated their requirements in direct contradiction to the December 4
Constance Nash, who controls VSL and is one of the inventors of the ODT technology, continued her unlawful conduct designed to interfere with and undermine MAXD's enforcement activities related to the ODT patent rights granted by VSL and its affiliates to the Company. Nash continues to create interference and be adversarial to the Company, including VSL's efforts to go directly to Google and attempt to sell its technology and bypass MAXD's rights under the Agreement. This time, Nash and VSL directed their unlawful conduct at Max Sound's enforcement activities in Germany. Today MAXD decided, after careful consideration, to withdraw its current claim against Google and its affiliates in Mannheim, Germany, in order to protect its ODT patent rights in Germany from irreparable harm resulting from the unlawful activities of Nash and VSL. For now, the Company will focus on pursuing its appeal of the federal court's ruling questioning MAXD's right to enforce the United States '339 Patent in the United States and seek further monetary and other relief against Nash and VSL in the arbitration proceeding in California, building on its success in the Superior Court.
MAXD is convinced that this strategy will strengthen the Company's rights to the ODT patents and technology granted to it under the License Agreement. MAXD will revisit pursuing enforcement of its rights in Europe after the Company completes enforcement of its rights confirmed by the Superior Court in last week's award by that court. The Company also anticipates enforcement of the Superior Courts ruling this will have a positive effect on the issue of its standing to enforce the '339 patent against Google in federal court. MAXD determined that this strategy was in the best interests of MAXD and its shareholders, as Nash and VSL continue to interfere with MAXD's rights to the ODT patents and technology.
Legal advisors of Max Sound Corp. in Germany are ARNOLD RUESS, Düsseldorf, and WITTMANN HERNANDEZ, Munich. Both law firms are experts in the entire field of intellectual property.
About ARNOLD RUESS: An internationally known boutique IP firm that specializes in the entire field of intellectual property and is highly recommended by all major rankings including Legal 500, IAM 1000, WTR 1000, Chambers, Who's Who Legal and Best Lawyers. A spin-off from one of the world's largest international firms, ARNOLD RUESS represents national and international corporate clients ranging from innovative medium size companies to Fortune 500 level in IP strategy and litigation. To learn more about ARNOLD RUESS, please visit http://www.arnold-ruess.com.
About Wittmann Hernandez: The patent law firm Wittmann Hernandez advises and represents global players, small and medium sized companies and universities from North America, Asia, Europe and Germany. The areas of practice include drafting, filing, prosecuting, defending and enforcing of intellectual property rights, in particular patents. Since many years, Yorck Hernandez is involved in cross-border litigations as well as licensing negotiations, with a focus on telecommunications. For more information on Wittmann Hernandez, please visit http://www.wh-ip.com.
About Max Sound Corporation: As creators of acclaimed MAX-D HD Audio, Max Sound can provide a better solution for Audio, Video and Data transmissions. Max Sound Corporation is the company that brings forth technologies for the betterment of our world, including VSL's Optimized Data Transmission Technology. Max Sound®, MAXD® and MAX-D Audio Perfected® are registered trademarks. All other trademarks are the property of their respective owners. To learn more about the MAX-D Technology, please visit http://maxsound.com.
SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: Statements in this press release which are not purely historical, including statements regarding Max Sound's intentions, beliefs, expectations, representations, projections, plans or strategies regarding the future are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The forward-looking statements involve risks and uncertainties including, but not limited to, the risks associated with the effect of changing economic conditions, trends in the products markets, variations in the company's cash flow or adequacy of capital resources, market acceptance risks, technical development risks, and other risk factors. The company cautions investors not to place undue reliance on the forward-looking statements contained in this press release. Max Sound disclaims any obligation and does not undertake to update or revise any forward-looking statements in this press release. Expanded and historical information is made available to the public by Max Sound Corporation and its Affiliates on its website http://www.maxsound.com or at http://www.sec.gov.
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