Falken Industries Ltd – today announced that it had recovered a € 8.800.000,00 judgement against NICKEL LTD with permission to pursue by subrogation, enforcement against PURE BIOSCIENCE (Formerly INNOVATIVE MEDICAL SERVICES "IMS") (OTC:BB PURE).
Paris 10/26/2005 12:34 PM GMT (TransWorldNews)
Nickel, stated that it had signed its litigated supply agreement with Falken in reliance upon a contract signed by it with PURE, and that it was compelled to default with Falken as a result of PURE's continued failing or inability to deliver Axen concentrate or dilution. Nickel also stated that its total claims against PURE including for breaches of its exclusivities, exceeded € 38.500.000,00 ($ 46.500.000,00) in unambiguous contract claims, and that amount again in consequential damages. These claims will be pursued in three separate lawsuits.
Nickel advised today that in accord with leave granted it by the Paris High Court on March 25, 2005, it had commenced, filed and served on an accelerated basis in Paris France, the first of two lawsuits. The first suit against PURE seeks damages exceeding € 12,500,000 ($15.250.000,00) for lost margins on required purchases and for an additional and undetermined amount including for breaches of the non-compete provisions. The second lawsuit claiming direct damages in excess of € 14.500.000,00 ($ 17.690.000,00) is expected be filed and served within ten days, and documents additional claims against PURE for its managerial failures of a joint venture. Pure had admitted its contractual obligations in SEC filings, and had confirmed Nickel’s exclusivities and performance of the contract in its own press release(s).
The jurisdiction of the French courts was heavily contested by PURE in an earlier court proceeding, but on March 25, 2005, the French Court ruled against PURE and confirmed its exclusive jurisdiction to adjudicate the matters and PURE did not appeal.
Attorneys representing Nickel, said: "Under the two Agreement(s) PURE is specifically prohibited from any competing activity in the United States, and required to make minimum purchases and meet development objectives in the United States all of which it has refused to do.”
ABOUT FALKEN INDUSTRIES LTD
Falken Industries Ltd. Is a leading manufacturer of innovative wet wipe and other products. Its core product group is the Clean Plus® brand of high performance products - www.cleanplus.com through which it ensures the development and commercialisation of specialty cleaning and maintenance products for consumer and industrial applications.
Through its production associate in St Pierre les ElBeuf (FRANCE), Falken also pursues the production and development of its non-competing private label business which contributes materially to economies of scale in raw materials costs.
Clean Plus® Auto Care® is a recognized success by both clients and competitors due to its unique market positioning, high quality, and price advantage. In February 2005, the company launched its Handyman® product group aimed at the consumer DIY market segment.
Distribution is ensured through Falken’s unique “Super Distribution” concept. Super Distribution Agreements provide successful distributors with a contractual exclusivity for a given geographic area and market segment.
Currently, the Clean Plus® and related product lines are sold throughout Europe and in many other countries. The company introduced its product line in the United States in November 2004, and expects to launch that market in 2006. The Company’s clients include: the largest distribution networks in the automotive sector, major gasoline station chains, exclusive retail auto aftermarket chains in Europe with hundreds of stores in six European nations. The Company also sells to government agencies and a large number of national and multinational firms.
All products are sold in multiple languages and are manufactured to service the whole of the European and North American market. Consumer products are manufactured in different editions, i.e., NE Northern European(Finland, Norway, Sweden, Denmark and the UK); CE Central Europe (Belgium, Holland, Luxembourg and Germany); SE Southern Europe (Portugal, Spain, Italy, Greece and Cyprus); US (United States & South America) and C(Canada, and the Commonwealth Countries). Languages, versions and models are created as the company expands its Super Distribution network.
The Clean Plus® line of products is divided into 2 segments, the consumer line and the professional line.
This press release includes statements that may constitute "forward-looking" statements, usually containing the words "believe", "estimate", "project", "expect" or similar expressions. These statements are made, to the extent relevant, pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, acceptance of the Company's current and future products and services in the marketplace, the ability of the Company to develop effective new products and receive regulatory approvals of such products, competitive factors, dependence upon third-party vendors, and other risks. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release.