Cardiovascular Systems Inc. (NSDQ:CSII) and local rival ev3 Inc. have called a truce.
St. Paul, Minn.-based CSI said Tuesday it settled an employment lawsuit with Plymouth-Minn.-based ev3. The suit, filed by ev3 in 2007, accused CSI of poaching two unspecified employees.
According to the settlement, CSI will pay ev3, now a part of Covidien plc (NYSE:COV), $1 million, including an immediate $750,000 payment and a $250,000 promissory note due in January 2014. ev3 will pay CSI $500,000 in insurance costs.
Neither company admitted liability or wrongdoing in the case.
"Reaching a settlement in this lawsuit is in the best interest of CSI. By resolving this issue, we can move forward and focus on our business and growth opportunities, without the distractions and expense of prolonged litigation," said CEO David Martin in a prepared statement.
In July, ev3 Inc. agreed to settle a group of lawsuits filed by shareholders looking to block its $2.6 billion acquisition by Covidien.