My first thoughts were all explitives when I found out about the lawsuit....but my contemplative thinking was along the lines that this lawsuit is actually a valadation of what the company has been telling us all along. Pretty much what your suggesting Sink. The company has to respond by moving the claim to 9th district court in San Francisco and filing a counterclaim. The crux of the complaint has to be detailed in the contract claiming exclusivity and when that exclusivity has lapsed. The company claims that it expired in the fall of 2005. (Per RP via a friend)Wencor seemingly thinks it`s still in effect. The devil is in the details and hopefully the details are so straight forward that the court will dismiss this claim as frivolous.....Realistically, I think Brent Wood entered into this lawsuit with the intention of dragging it out over the course of a long and expensive ordeal.

I can`t imagine EDIG would deliberately target the Wencor IFE market if their signitures were on a contract prohibiting their competing. It makes much more sense that Wencor has orchestrated this as a staged event.

Take into account the delay in the delivery of these 1250 units in the third Q of last year, (Dec.) thats when it was supposed to happen. Who knows what happened when Wencor sent a represenative in January to visit Maycom but their fingerprints appear to incriminate them. I don`t know how these legal type detective things get sorted out in Korea nor how long they take, but no matter how nor when, any third party involvement is likely a criminal event. The lawsuit is intended to cover all bases and is followed up with a PR announcing their newly developed business plan which targets ours.

The peril in all this is time and resources required to defend this in court and sustain ourselves throughout. The longer this drags out the more precarious our position and as we have seen the more difficult it will be to move the company forward in any marketplace let alone IFE. Customers want to know that your going to be in business a year or 2 from now. It even compromises our ability to negotiate with the property management companies that we are working with. (Note the plural)

A best case scenerio. The lawsuit gets moved to Federal court. The case against us is transparent and is dismissed in short order. One or more of our pending customers is unphased by the lawsuit and proceeds with their orders. (I doubt that one of them is an airline at this point as to be enjoined in the process) And Brent Wood is found criminally libel for throwing monkey wrenches!

Larry