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In Brief: Fonar v. GE

This article was originally published in The Gray Sheet

Executive Summary

Fonar v. GE: U.S. Supreme Court denies a General Electric petition for writ of certiori requesting high court review of Fonar claims that GE infringes two Fonar patents covering magnetic resonance imaging technology. The ruling follows a May 27 high court decision to deny a GE request to stay a May 1995 jury finding in the case, which had resulted in a $103 mil. award (plus interest) to Fonar. The decision forced GE to pay Fonar $128.7 mil. ("The Gray Sheet" July 7, In Brief). GE sought the temporary stay following a ruling by the U.S. Court of Appeals for the Federal Circuit of Washington, D.C. denying a GE petition for a rehearing after the appeals court upheld the initial May 1995 ruling. GE, prior to the high court's ruling, discontinued sales of products found to infringe Fonar patents. Fonar reports Oct. 15 that the GE payment helped Fonar fiscal 1996 year-end earnings climb from a loss of $11.4 mil. in 1996 to net income of $56.1 mil. in 1997. Revenues for the year (ended June 30) were $17.6 mil., up 27% versus $13.9 mil. in FY 1996...

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