Cardiac Science awarded $23 million in lost royalties

Waukesha-based Cardiac Science Corp., a manufacturer of automated external defibrillators, was recently awarded $22,991,985 in lost royalties in a breach of contract lawsuit. A 12-person jury in Los Angeles Superior Court unanimously decided in favor of the company’s breach of contract claims against Zoll Medical Corp. and Zoll LifeCor Corp.

“This decision comes after years of attempts to negotiate and resolve the dispute between the parties,” said Cardiac Science senior vice president and general manager Al Ford. “Nevertheless, we are thrilled that this jury unanimously ruled that the cross-license agreement between Cardiac Science and the defendants was breached.”

The dispute relates to Cardiac Science’s patented wearable defibrillator technology. In 2002, LifeCor began marketing its LifeVest product, which infringed a number of Cardiac Science’s patents. To avoid infringement claims, LifeCor entered into a cross-license agreement with Cardiac Science and was able to continue selling its device. However, once Zoll Medical acquired LifeCor in 2006, it stopped paying royalties associated with the cross-license agreement. Cardiac Science sued Zoll Medical and Zoll LifeCor for breach of contract in 2011.

“Cardiac Science has many patented technologies in the AED space, and we will aggressively pursue companies that choose to violate them,” Ford said.

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