Arbitration Dispute Between SpectRx and Altea Resolved.Business Editors & Health/Medical Writers NORCROSS, Ga.--(BUSINESS WIRE)--Nov. 7, 2000 SpectRx, Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :SPRX) today announced that the arbitration between SpectRx and Altea/NIMCO has been resolved and that claims by both parties for damages have been denied. The Arbitration Panel arbitration panel A group of individuals charged with resolving a dispute between individuals and/or organizations. Arbitration panels to resolve investment disputes are sponsored by self-regulatory organizations such as NASD. denied the claims by Altea/NIMCO that SpectRx is required to continue a program of Joint Development and all claims that SpectRx has breached the License and Joint Development Agreement. The Panel interpreted the scope of Joint Technology under the Agreement as requested by Altea and as a result said that two patent applications should be jointly assigned to Altea. The Panel also resolved a dispute over stock options in effect at the time Altea/NIMCO principal Jonathan Eppstein's employment ended at SpectRx. The Panel also denied the claims of both sides for attorney's fees and expenses of the arbitration. "We are disappointed that the arbitration panel did not uphold our claims for damages, but pleased that the counter claims for damages by Altea were not upheld. The resolution of this uncertainty will allow each of us to get back to the business of developing products that add value to our respective companies," said Mark A Samuels, chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of SpectRx. "We have very complex relationships with many of our partners and licensees, including Altea, and from time to time, we will need to seek interpretations of those contracts when ordinary discussions fail," Mr. Samuels said. The demand for arbitration was filed by SpectRx to settle disputes arising under the company's license agreement with Altea/NIMCO for microporation technology that is used in its continuous glucose monitoring glucose monitoring Lab medicine The periodic evaluation of any analyte abnormal in Pts with DM, to assess short and long-term control with antiglycemic agents. See Glucose, Glycated hemoglobin. product. The product is currently under development with partner Abbott Laboratories Abbott Laboratories (NYSE: ABT) is a diversified pharmaceuticals and health care company. It has over 65,000 employees and operates in 130 countries. The corporate headquarters are in Abbott Park, Illinois, a neighborhood of North Chicago, Illinois. and its MediSense Products unit. SpectRx sought an interpretation of certain portions of the agreement relating to assigning rights to patents developed by SpectRx and other issues. SpectRx, a specialty point-of-care medical technology company, develops and manufactures noninvasive and minimally invasive diagnostic and monitoring systems. The company employs leading-edge biophotonics, or the use of light and spectral energies, to develop painless point-of-care alternatives to blood- and tissue-based procedures. Through internal product development and partnerships with major health care companies, SpectRx focuses on key niche and large diagnostic markets, primarily oncology, endocrinology and neonatology neonatology /neo·na·tol·o·gy/ (ne?o-na-tol´ah-je) the diagnosis and treatment of disorders of the newborn. ne·o·na·tol·o·gy n. . The Company's handheld, FDA-cleared BiliChek(TM) (sold internationally as BiliCheck(TM)) is the first commercially available noninvasive painless monitor for infant jaundice jaundice (jôn`dĭs, jän`–), abnormal condition in which the body fluids and tissues, particularly the skin and eyes, take on a yellowish color as a result of an excess of bilirubin. . Under development are products for the noninvasive detection of cervical cancer Cervical Cancer Definition Cervical cancer is a disease in which the cells of the cervix become abnormal and start to grow uncontrollably, forming tumors. and Type II diabetes Type II diabetes Type II diabetes is the most common form of diabetes and usually appears in middle aged adults. It is often associated with obesity and may be delayed or controlled with diet and exercise. Mentioned in: Diabetic Ketoacidosis , and a consumer device for continuous glucose monitoring. For more information, visit SpectRx's web sites at www.spectrx.com and www.bilicheck.com, or use Internet Keyword SpectRx. Certain matters discussed in this announcement contain forward-looking statements that involve material risks to, and uncertainties in the company's business, which may cause actual results to differ materially from those anticipated by the statements made herein. The matters discussed herein should be viewed together with the Risk Factors in the Company's 10K for the year ending December 31, 1999, on file with the SEC. |
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