|
11. Commitments and Contingencies
In the ordinary course of business, the Company is engaged in various litigation including product liability and intellectual property disputes. However, the Company does not believe that any pending litigation will have a material adverse effect on its consolidated financial position. In addition, the Company is not currently a party to any environmental-related claims or legal matters.
In the year ended December 31, 2011 the Company successfully asserted infringement and defended the validity of several of its patents. On November 23, 2011, the U.S. District Court for the Western District of Wisconsin entered a judgment declaring that the Company’s U.S. Patent Nos. 5,353,530 and 6,944,978 are valid and had been infringed by a competitor and awarded the Company $1,018 in damages for pre-verdict infringement. In August 2012, the Company received a payment in satisfaction of the successful assertions of infringement and validity in the lawsuit with the competitor. As a result of the satisfaction in August 2012, the Company received $1,018 in damages for pre-verdict infringement, without waiving the right to seek any additional damages or recourse from the competitor. The amount received is included in selling, general and administrative expenses in the Company’s consolidated statement of operations in both the three and nine-month periods ended September 30, 2012.
|