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Multi-Million Dollar Judgment Awarded Phoenix Company

26 October 2000

Multi-Million Dollar Judgment Awarded Phoenix Company

    PHOENIX, Oct. 26 A federal judge has awarded a 4.1 million
dollar judgment in favor of a local Phoenix company.  Tire Service Equipment
Mfg. Co. was awarded the judgment in its lawsuit against Bead Seater Corp., a
New Hampshire corporation, and its president, Norman P. Demers.  United States
District Court Judge James B. Moran of Chicago was specially appointed to hear
the case, and awarded the judgment in order to compensate Tire Service
Equipment for the damages it sustained as a result of Bead Seater's
manufacture and sale of an infringing "bead seating tool", an item of
equipment utilized in the tire repair business.  According to Tire Service
Equipment's president, Wes Sprunk, his corporation had previously been awarded
priority of inventorship by the United States Patent Office, in a lengthy
contest.  The lawsuit, which was originally filed in 1994, also named as a
defendant Arizona Tire and Rubber Company, a Phoenix based firm which
participated in the distribution of the infringing item.  In addition to
awarding $4,100,000.00 in damages against the New Hampshire defendants, Judge
Moran also issued a permanent injunction against Arizona Rubber, Bead Seater
Corp. and Mr. Demers, and all others in concert with them, enjoining them from
making, selling, using or causing to be made, sold or used any bead seating
tools which infringe upon Tire Service Equipment's patent.  When asked about
the six year long litigation finally coming to a close, Mr. Sprunk indicated
that he hoped it would "serve notice to all others" that his company was
prepared to go to "whatever lengths it takes and however long it takes to see
that our patent rights are not violated."