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Alcohol Monitoring Systems Files Appeal With Federal Circuit Court in Patent Suit

LITTLETON, Colo., Nov. 29, 2011 /PRNewswire/ -- Denver-based Alcohol Monitoring Systems, Inc. has filed a second appeal to the U.S. Court of Appeals for the Federal Circuit in Washington, D.C., in its long-standing patent infringement suit against Tampa-based Actsoft, Inc.

The suit, first filed in 2007 in Colorado's Federal District Court, was originally denied in 2009 when the trial court ruled that because the Actsoft system was incapable of measuring a subject's blood alcohol content (BAC), the defacto standard worldwide for determining alcohol intoxication, the system did not violate AMS patents for their proprietary SCRAM (Secure Continuous Remote Alcohol Monitor) system. In January of this year the Federal Circuit Court of Appeals revised the trial court's claim construction and determined that there were sufficient facts from which a jury could conclude that the Actsoft device, originally marketed as "House Arrest Solution," infringed AMS patents. The Federal Circuit remanded the case to the district court for trial.

On October 25th, just six days before trial was to start, the district court entered an order granting in part and denying in part Actsoft's supplemental renewed motion for summary judgment. In its order, the Court concluded that AMS could not rely upon or argue the claim construction that was previously ordered by the Federal Circuit. AMS filed an immediate appeal to the Federal Circuit asking the court to again correct the legal errors in the trial court's order.

"While the ruling is disappointing, we knew this would be an arduous battle when we originally filed suit in 2007," says Mike Iiams, chairman and CEO of AMS. "The nature of patent infringement litigation is so complex today that the vast majority of rulings are appealed from the District Court to the appellate level, where the cases are then reviewed by judges focused exclusively on the complexities of patent litigation," adds Iiams. AMS filed an immediate appeal following the October 25th ruling. "We will continue to vigorously defend our intellectual property," adds Iiams. "We would not make the kind of investments we're making in this litigation if we did not firmly believe that our case is both valid and imperative for maintaining the integrity of transdermal technology in the industry," he says.

AMS manufactures and markets SCRAMx throughout North America. The system includes an anklet, worn 24/7, that samples perspiration every 30 minutes in order to monitor for alcohol consumption and compliance with court-or agency-ordered sobriety. The system launched to the corrections market in April of 2003 and to-date has monitored over 200,000 offenders in 48 states.

About Alcohol Monitoring Systems, Inc.

Established in 1997, AMS is the world's largest provider of Continuous Alcohol Monitoring (CAM) technology. AMS manufactures SCRAMx, which uses non-invasive transdermal analysis to monitor alcohol consumption and integrates home detention monitoring into a single anklet.

SCRAMx fully automates the alcohol testing and reporting process, providing courts and community corrections agencies with the ability to continuously monitor alcohol offenders, increase offender accountability and assess compliance with sentencing requirements and treatment guidelines. AMS employs 126 people across the U.S. and is a privately-held company headquartered in Littleton, Colorado.


SOURCE Alcohol Monitoring Systems, Inc.
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