Free Status Report - District Court of Colorado - Colorado

Case 1:04-cv-01769-MSK-CBS

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Filed 12/27/2006

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IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLORADO Case No. 04 - CV - 1769 - MSK - CBS A MAJOR DIFFERENCE, INC., a Colorado corporation, Plaintiff, vs. ERCHONIA MEDICAL, INC., an Arizona corporation, ERCHONIA MEDICAL LASERS, L.L.C., an Arizona limited liability company, and ERCHONIA PATENT HOLDINGS, L.L.C., an Arizona limited liability company, Defendants. ______________________________________________________________________________ ERCHONIA PATENT HOLDINGS, LLC, an Arizona limited liability company; ERCHONIA MEDICAL INC., an Arizona corporation, Counterclaimants and Third-Party Plaintiffs, vs. A MAJOR DIFFERENCE, INC., a Colorado corporation, ROBERT E. MORONEY, an individual, ROBERT E. MORONEY, L.L.C., a Colorado limited liability company, MIKI SMITH, an individual, KMS MARKETING, INC., a Colorado corporation, and STARGATE INTERNATIONAL, INC., a Colorado corporation, Counterdefendant and Third-Party Defendants. STATUS REPORT RE: SETTLEMENT Plaintiff A Major Difference, Inc., Defendants Erchonia Medical, Inc., Erchonia Medical Lasers, L.L.C., and Erchonia Patent Holdings, L.L.C., Counterclaimants and Third-Party Plaintiffs Erchonia Medical, Inc., and Erchonia Patent Holdings, L.L.C., and Third-Party Defendants Robert E. Moroney, Robert E. Moroney, L.L.C., Miki Smith, KMS Marketing, Inc., and Stargate International, Inc., by their respective undersigned counsel, submit the following status report concerning the status of settlement in this matter pursuant to the Court's Minute Order of November

Case 1:04-cv-01769-MSK-CBS

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27, 2006: 1. The Defendants have prepared a draft settlement agreement and stipulation for

permanent injunction in this case, along with draft stipulations for dismissal in the related cases in Colorado and Arizona, which have been submitted to the Plaintiff and Third-Party Defendants for review and approval. The Plaintiff and Third-Party Defendants have reviewed the draft settlement agreement and have made revisions and amendments thereto, which have been submitted to the Defendants for review and approval, and which are currently under review. 2. The parties anticipate that settlement papers can be filed in this case and in Case No.

1:05-cv-02325-WYD-MJW no later than January 31, 2007. Respectfully submitted this 27th day of December, 2006,

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s/ Robert R. Brunelli Robert R. Brunelli [email protected] Benjamin B. Lieb [email protected] Scott R. Bialecki [email protected] Paul S. Cha [email protected] SHERIDAN ROSS P.C. 1560 Broadway, Suite 1200 Denver, Colorado 80202 (303) 863-9700 Attorneys for Plaintiff A Major Difference, Inc. and Third-Party Defendants Robert E. Moroney, Robert E. Moroney, L.L.C., Miki Smith, KMS Marketing, Inc., and Stargate International, Inc.

s/ John R. Mann John R. Mann [email protected] Charles R. Ledbetter [email protected] Valerie A. Garcia [email protected] KENNEDY CHILDS & FOGG, P.C. 1050 17th Street, Suite 2500 Denver, Colorado 80265 (303) 825-2700 (303) 825-0434 FAX Richard L. Gabriel [email protected] David O. Seeley [email protected] HOLME ROBERTS & OWEN LLP 1700 Lincoln Street, Suite 400 D.C. Box No. 07 Denver, Colorado 80203 Telephone: (303) 861-7000 Telecopier: (303) 866-0200 Ira Schwartz DE CONCINI MCDONALD YETWIN & LACY , P.C. [email protected] 7310 N. 16th Street, Suite 330 Phoenix, Arizona 85020 (602) 282-0500 Attorneys for Defendants Erchonia Medical, Inc., Erchonia Medical Lasers, L.L.C., and Erchonia Patent Holdings, L.L.C., and Counterclaimants and Third-Party Plaintiffs Erchonia Medical, Inc., and Erchonia Patent Holdings, L.L.C.

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CERTIFICATE OF SERVICE The undersigned certifies that on this 27th day of December, 2006, a true and correct copy of the foregoing STATUS REPORT RE: SETTLEMENT was electronically filed with the Clerk of Court using the CM/ECF system, which will send notification of such filing to the following email addresses: Robert R. Brunelli, Esq. [email protected] Benjamin J. Lieb, Esq. [email protected] SHERIDAN ROSS P.C. 1560 Broadway, Suite 1200 Denver, CO 80202 Richard L. Gabriel, Esq. [email protected] David Seeley, Esq. [email protected] HOLME ROBERTS & OWEN LLP 1700 Lincoln St., Suite 400 Denver, CO 80203 Ira M. Schwartz, Esq. [email protected] DECONCINI MCDONALD YETWIN & LACY, P.C. 7310 N. 16th St., Suite 330 Phoenix, AZ 85020 s/ John R. Mann John R. Mann KENNEDY CHILDS & FOGG, P.C. 1050 17th Street, Suite 2500 Denver, Colorado 80265 (303) 825-2700 (303) 825-0434 FAX [email protected]

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