More from e.Digital's Apr 07 legal filing:

(a) DeCuir told e.Digital at or shortly after the meeting on January 5, 2005, with the knowledge and consent of digEcor that the Block Diagrams contained “a lot of . . . information we can use for the [XT] product spec[ification]” due later that month, which would result in “less testing to do to help us [DeCuir and digEcor] develop the new Product Specification” – other words, to accelerate development and introduction of the digEplayer XT;

(b) DeCuir told e.Digital at or shortly after the meeting on January 5, 2005, with the knowledge and consent of digEcor that e.Digital’s Block Diagrams “will be of great assistance in helping us [DeCuir and digEcor] to baseline the current product” – again to accelerate development and introduction of the digEplayer XT;

(c) In a press release dated May 25, 2006, digEcor admitted that development of the digEplayer XT was derived from and based on “the best features of the [digEplayer] 5500,” and e.Digital believes most or all of such best features were based on or constituted the confidential information or trade secrets of e.Digital;

(d) digEcor has touted various features of the digEplayer XT, such as the 10 hour battery life, as similar or identical to the digEplayer 5500, which features are based on e.Digital’s confidential information or trade secrets; and

(e) Given the timing of the digEplayer XT project, and the unquestioned access to and knowledge of digEcor and its agents (including DeCuir, the engineering firm selected by digEcor, and/or Wolf) of e.Digital’s confidential information and trade secrets, it is unlikely that digEcor and its agents did in fact, or could have, eliminated e.Digital’s confidential information from consideration or use during the development process of digEcor’s next generation player.