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PIE DESIGN SYSTEMS FILES COUNTERCLAIM AGAINST QUICKTURN SYSTEMS SEEKING DAMAGES OF $8 MILLION

PIE DESIGN SYSTEMS FILES COUNTERCLAIM AGAINST QUICKTURN SYSTEMS
 SEEKING DAMAGES OF $8 MILLION
 SUNNYVALE, Calif., June 5 /PRNewswire/ -- PiE Design Systems Inc. announced today that it has filed a counterclaim against Quickturn Systems to recover damages in the amount of $8 million stemming from Quickturn's unfair business practices and antitrust violations. The counterclaim also seeks to invalidate a second patent recently acquired by Quickturn from Mentor Graphics and further requests the United States District Court to enjoin Quickturn from engaging in unfair business practices.
 Together with its counterclaim, PiE filed its required answer to Quickturn's allegations of patent infringement. PiE's answer denies that it has infringed the Quickturn patent. After thorough review of the patents, PiE's patent attorneys, as well as other experts in the field, have concluded that not only is PiE's MARS II product line non- infringing, but also that Quickturn's patent acquired from Mentor Graphics is invalid.
 Dr. Paul Huang, president of PiE Design Systems, summed up the current situation by stating that "PiE is genuinely pleased with the opinions of the experts who have studied these patents. At the same time, we are disappointed that Quickturn has sought to resort to unfair business practices to compete in the market." Huang continued, "Neither PiE Design Systems, nor Quickturn nor the market is served by such activity."
 PiE has uncovered evidence of Quickturn's unfair business practices and is seeking both monetary damages and injunctive relief. In its counterclaim against Quickturn, PiE maintained following:
 1) that Quickturn, prior to filing its lawsuit, illegally threatened prospective customers of PiE if they did business with PiE;
 2) that Quickturn, knowing that the patent it acquired from Mentor Graphics (Patent Number 5,036,473) was invalid, nonetheless threatened PiE with litigation under the alleged authority of the patent in an attempt to interfere with PiE's right to compete in the logic emulation market, as well as injure PiE's rapidly growing business;
 3) that Quickturn knowingly made false public statements concerning the scope of its patent (Patent Number 5,109,353) with the intent to disrupt PiE's relationships with existing and prospective customers;
 4) that Quickturn's acquisition of the Mentor Graphics patent was an attempt to eliminate a potential competitor in the logic emulation, an act which may tend to substantially lessen competition or create a monopoly in the market;
 5) that Quickturn's unfair business practices not only constitute violations of U.S. antitrust law, but also violations of Section 17200 of the California Business and Professions Code.
 Huang added this observation to the events at hand, "At the time Quickturn filed its lawsuit, I indicated that PiE was satisfied that it was not in violation of the Quickturn patent and that it would successfully defend itself against the unfounded Quickturn lawsuit. After making a thorough investigation of the facts, we are convinced that Quickturn has engaged in a systematic attempt to monopolize the logic emulator market. PiE continues to stand by its belief that only through the process of fair and honest competition is the market given the opportunity to select the best product. Our MARS II emulation system has successfully won in every situation that it has competed with the Quickturn product. The reason for PiE's success is simple: we have developed a superior product."
 PiE Design Systems Inc. (Sunnyvale) is a privately held company that develops and manufactures logic emulation hardware and software systems for use by end-product electronic system designers incorporating VLSI circuits in their designs.
 -0- 6/5/92
 /CONTACT: Ping Chao of PiE Design Systems, 408-738-8899; or Edwin Lee of LPR, 415-363-0142, for PiE Design Systems/ CO: PiE Design Systems Inc.; Quickturn Systems ST: California IN: CPR SU:


MC-MM -- SJ002 -- 7317 06/05/92 08:02 EDT
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Publication:PR Newswire
Date:Jun 5, 1992
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