BRYAN, Texas, Sept. 4 /PRNewswire/ -- Neutral Posture Ergonomics, Inc.
(Nasdaq: NTRL) announced that Judge J.D. Langley of the 85th Judicial District
court in Brazos County, Texas ruled yesterday that Neutral Posture Ergonomics,
Inc. is a necessary party to the litigation between Dr. Congleton and Bodybilt
(a subsidiary of Ergobilt (Nasdaq: ERGBE)) and that all claims, except for the
ambiguities in the assignment of the patent rights to NTRL from Dr. Congleton,
were stayed and abated to arbitration. Dr. Congleton stipulated that he would
submit to binding arbitration over any and all issues arising between the
parties.
Although Judge Langley, on September 3, 1998, rescinded the original
assignment of patent rights from Dr. Congleton to NTRL, the Judge invited Dr.
Congleton to re-execute the assignment to NTRL subject to any restrictions
arising out of the 1991 Settlement Agreement of record in Cause No. 33,588-85
in the 85th Judicial Court of Brazos County, Texas. The new assignment was
executed yesterday and the effective date of the assignment remains
March 5, 1997.
On August 10, 1998 the United States District Court for the Northern
District of Texas dismissed the Ergobilt suit against NTRL. The NTRL claims,
including patent infringement, against Bodybilt were referred to arbitration.
On August 31, 1998 pursuant to the United States District Court's Order, NTRL
filed its claim against Bodybilt with the American Arbitration Association in
Dallas, Texas. NTRL is claiming patent infringement by Bodybilt, trademark
violations and other claims against Bodybilt. NTRL's claims against Ergobilt
remain active in Federal District Court in the Northern District of Texas.
Commenting on the court's ruling, Rebecca Boenigk, Chairman and CEO said,
"We initiated arbitration proceedings against Bodybilt claiming patent
infringement and other issues in May of 1997. Although we have spent the last
eighteen months in federal and state court in litigation with
Bodybilt/Ergobilt, we are pleased to be back in arbitration as this was our
original intent. We intend to pursue these claims against Bodybilt including
patent infringement in the arbitration mentioned above."
This press release may include certain statements that may be deemed to be
"forward-looking" within the meaning of the Securities Act of 1933, as
amended, and the Securities Exchange Act of 1934, as amended. There are
certain important factors which could cause actual results to differ
materially from those anticipated by the forward-looking statements. Certain
of the important factors which could cause actual results to differ materially
from those in the forward-looking statements include, among other things,
changes from anticipated levels of sales, the ability to integrate acquired
product lines and related businesses, future national or regional economic and
competitive conditions, changes in relationships with customers, customer
acceptance of existing and new products, pricing pressures due to excess
capacity, raw material cost increases, change of tax rates, change of interest
rates, declining conditions in the industry, validity of patents, availability
of key component parts, casualty to or other disruptions of the Company's
production facility and equipment, delays and disruptions in the shipment of
the Company's products and other factors that generally affect business.
SOURCE Neutral Posture Ergonomics, Inc.
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Related links:
http://www.neutralposture.com
Company News On-Call: http://www.prnewswire.com or
fax, 800-758-5804, ext. 125652
CONTACT:
David Campbell, President of Neutral Posture
Ergonomics, 409-778-0502, ext. 22
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