Shimano vs. SRAM: Patent Infringement

MUNICH, Germany (June 17) - The Munich District Court I decided in favor of Shimano regarding Shimano's patent infringement law suit against SRAM Deutschland GmbH, its director, Mr. Kai-Uwe Rüde, and SRAM Corporation Europe Livisham Limited. The complaint served to protect Shimano's interest and rights in Shimano's European Patent 0 313 345, which is known as HYPER GLIDE technology. Following the Court decision (docket Nr. 21 O 21210/00), SRAM will no longer be allowed to market in Germany its 'Powerglide II' cassettes (sold in their 5.0 and 7.0 series). Shimano has the right to enforce this decision against the defendants after posting a required security deposit, even if the defendants choose to file an appeal. SRAM comments on the court verdict that it will certainly file an appeal. SRAM will stop shipping the cassettes into Germany as soon as Shimano will have fulfilled the necessary administrative requirements. This is likely to happen within weeks. In the meantime, SRAM is filing a Stay of Execution in the Munich Court of Appeals. Within weeks, the court will decide whether they will grant this Stay of Execution. If granted, SRAM will be able resume selling the cassettes covered by the suit all through the appeal procedure. If it is not granted, SRAM will need to win the appeal before it will be able resume shipping the cassettes under litigation onto the German market. In its press release, SRAM adds that "SRAM will continue to try and resolve this issue amicably with Shimano."(OB)