Ultrasound device developer Verasonics said today that as part of a binding arbitration decision in a trade secret dispute, Alpinion Medical Systems has been prohibited from marketing or selling its E-Cube 12R ultrasound system for 5 years.
The decision, which also came with a final award of more than $5.6 million, was confirmed last week by the U.S. District Court for the Western District of Washington, Verasonics said.
The arbitrator in the case found that Alpinion Medical Systems had breached both non-disclosure and lease agreements between itself and Verasonics, as well as misappropriating Verasonic’s trade secrets, Verasonics reported.
As part of the ruling, Alpinion Medical will be prohibited from selling or marketing its E-Cube 12R , or any research ultrasound system produced based on Verasonic’s trade secret information. The company was also enjoined from using the trade secret information or any confidential information it was supplied under its non-disclosure agreement.
“We are grateful for the arbitrator’s decision to issue the final award so clearly in our favor. We continue to expand and build positive collaborative partnerships, but must insist on protecting our IP,” Verasonics prez & CEO Lauren Pflugrath said in a prepared statement.
Earlier this month, Verasonics said it would receive approximately double it’s initial $2.9 million reward after arbitration in a the case, according to court documents.