IRVINE, Calif., April 28, 2015 (GLOBE NEWSWIRE) -- CombiMatrix Corporation (Nasdaq:CBMX), a molecular diagnostics company specializing in DNA-based testing services for pre-implantation genetic screening (PGS), pre- and postnatal developmental disorders, today announced the execution of a Settlement Agreement (the "Agreement") with the Plaintiff Michael Strathmann regarding his complaint filed with the Superior Court of the State of California for the County of Orange (the "Court"). Pursuant to the Agreement, Plaintiff relinquishes the right to further litigate his complaint. In return, CombiMatrix relinquishes its right to recover certain court costs and to pursue reimbursement of court and legal fees from Plaintiff.
On March 6, 2015, the Court issued its final Statement of Decision in the matter of the People of the State of California and Relator Michael Strathmann ("Plaintiff") vs. Acacia Research Corporation, CombiMatrix Corporation and Amit Kumar ("Defendants"), and entered Judgment thereon dismissing Plaintiff's complaint with prejudice. In its final Statement of Decision, the Court determined that it could not find that the Defendants had any fraudulent intent when they pursued insurance benefits under the National Union D&O Policy over a decade ago. Thereafter, Plaintiff filed a motion to vacate the Court's Judgment and a motion to seek a new trial. Also, the Plaintiff had the option to appeal the Court's Judgment. Pursuant to the Agreement, Plaintiff has withdrawn his motion to vacate the Court's Judgment and his motion to seek a new trial, with prejudice, and has relinquished any right to appeal the Judgment.
"We are gratified both that the Court agreed with our position of no wrong doing and that the Plaintiff decided to come to an agreement with us to end this litigation now, as well as preclude any possibility of the Plaintiff resuming future litigation regarding this matter," said Mark McDonough, President and Chief Executive Officer of CombiMatrix. "I am incredibly pleased with how our commercial team remained focused on our growth plan throughout the litigation and that we can now focus all of our resources to growing our business going forward."
About CombiMatrix Corporation
CombiMatrix Corporation provides valuable molecular diagnostic solutions and comprehensive clinical support to foster the highest quality in patient care. CombiMatrix specializes in pre-implantation genetic screening (PGS), prenatal diagnosis, miscarriage analysis, and pediatric genetics, offering DNA‑based testing for the detection of genetic abnormalities beyond what can be identified through traditional methodologies. CombiMatrix performs genetic testing utilizing a variety of advanced cytogenomic techniques, including chromosomal microarray, standardized and customized fluorescence in situ hybridization ("FISH") and high-resolution karyotyping. CombiMatrix is dedicated to providing high-level clinical support for healthcare professionals in order to help them incorporate the results of complex genetic testing into patient-centered medical decision making. Additional information about CombiMatrix is available at www.combimatrix.com or by calling 1-800-710-0624.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
This press release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements are based upon our current expectations, speak only as of the date hereof and are subject to change. All statements, other than statements of historical fact included in this press release, are forward-looking statements. Forward-looking statements can often be identified by words such as "anticipates," "expects," "intends," "plans," "goal," "predicts," "believes," "seeks," "estimates," "may," "will," "should," "would," "could," "potential," "continue," "ongoing," "objective," similar expressions, and variations or negatives of these words. These forward-looking statements are not guarantees of future results and are subject to risks, uncertainties and assumptions that could cause our actual results to differ materially and adversely from those expressed in any forward-looking statement. The risks and uncertainties referred to above include, but are not limited to: the risk of future litigation; market acceptance of CMA as a preferred method over karyotyping; the rate of transition to CMA from karyotyping; our ability to successfully expand the base of our customers and strategic partners, add to the menu of our diagnostic tests in both of our primary markets, develop and introduce new tests and related reports, optimize the reimbursements received for our testing services, and increase operating margins by improving overall productivity and expanding sales volumes; our ability to successfully accelerate sales, allow access to samples earlier in the testing continuum, steadily increase the size of our customer rosters in both developmental medicine and oncology; our ability to attract and retain a qualified sales force; rapid technological change in our markets; changes in demand for our future products; legislative, regulatory and competitive developments; general economic conditions; and various other factors. Further information on potential factors that could affect our financial results is included in our Annual Report on Form 10-K, Quarterly Reports of Form 10-Q, and in other filings with the Securities and Exchange Commission. We undertake no obligation to revise or update publicly any forward-looking statements for any reason, except as required by law.