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Battle between Xerox and BERTL Heats Up, BERTL Responds to Xerox Claims

Tuesday, January 28, 2003

Press release from the issuing company

NEW YORK, Jan. 27 -- New Jersey-based BERTL Inc., a leading publisher of independent product evaluations on copiers, printers, color systems and multifunction devices, has filed sixteen counterclaims against Xerox Corp., and Xerox Canada, totaling $53 million; comprising $33 million in compensatory damages and $20 million in punitive damages in the aggregate. BERTL's 74-page Answer, containing the counterclaims, was filed January 24th, in the US District Court (Rochester, New York) under Civil Action No: 02-CV-6365L (F). Phillips Nizer, LLP (New York City), acting for BERTL, has also filed a 37-page Memorandum of Law in support of BERTL's motion to dismiss seven of Xerox's nine claims. BERTL believes that all of Xerox's claims are without merit and will seek the dismissal of the remaining two at the appropriate juncture. The file is open to the public. BERTL's $53 million claims/counterclaims against Xerox principally arise from: -- Xerox infringements of copyrighted "LabCheck" reports -- Xerox misuse of BERTL trademarks -- Xerox appropriation of BERTL trade secret(s) -- Xerox falsely advertised winning BERTL awards (on sales promotion material) for Xerox copier-printers -- Xerox breaches of access license(s) to BERTL's website -- Xerox defamation of BERTL -- Xerox defamation of individuals employed by BERTL BERTL had attempted to resolve the dispute privately and amicably with Xerox but this was made impossible after Xerox launched a "pre-emptive strike" against BERTL in a highly publicized/PR-orchestrated libel action filed by Xerox in July 2002. In conjunction with BERTL's $53 million claim against Xerox, BERTL is asking the Court to dismiss Xerox's allegations that BERTL libeled Xerox in a July 2, 2002 email (in this email BERTL was disassociating itself from a sales promotion document Xerox had prepared in which Xerox had prominently featured BERTL's name and trademark). Carmel Rowley, CEO of BERTL says, "BERTL is pleased that it finally has the opportunity to present its grievances against Xerox, so that BERTL subscribers, and those that received Xerox's 'interpretation of events' can judge for themselves who has been wronged. We believe the public document, filed with the US District Court (Rochester, NY) under Civil Action No: 02-CV-6365L(F), will bear us out."




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