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MedQuist Announces Dismissal of South Broward Litigation and Appointment of New Interim President & CEO
Date:6/11/2008

MOUNT LAUREL, N.J., June 11 /PRNewswire-FirstCall/ -- MedQuist Inc. (Pink Sheets: MEDQ.PK). On June 9, 2008, the U.S. District Court District for the District of New Jersey dismissed the South Broward customer class action without prejudice to the right, upon motion and good cause shown, within 60 days, to reopen the action if the settlement is not consummated. The company is in the process of informing the court that the settlement has, in fact, been consummated through payment of the settlement amount and filing of a stipulation of dismissal with prejudice. As previously announced the South Broward action was filed against the company and certain present and former officers and the complaint alleged that the company overcharged certain non-federal governmental hospitals and medical centers for transcription services. Under the terms of the settlement agreement, the company has paid $7,537,001.83 to resolve all claims by the individual named plaintiffs and certain other putative class members represented by plaintiffs' counsel but not named in the action. The settling parties have released the company and all individual defendants from any and all claims and dismissed the action in its entirety with prejudice. Neither the company, nor any of the individual defendants, has admitted or will admit to liability or any wrongdoing in connection with the settlement.

This dismissal of the South Broward lawsuit follows the other recently disclosed tentative settlement reached on or about April 21, 2008 regarding all individual and class claims related to the consolidated medical transcriptionists' putative class action lawsuit in exchange for payment by MedQuist of $1.5 million plus certain injunctive relief. The consummation of these two settlements will result in the final resolution of all class action litigation matters related to (i) the allegations raised by a company employee in November 2003 that the company had engaged in improper billing practices, (
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SOURCE MedQuist Inc.
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