March Networks, a provider of Internet Protocol (IP)-based digital video surveillance solutions, announced a settlement in the patent litigation launched in April 2005.

The firm has agreed to pay E-Watch a sum of $2 million USD, however, no admission regarding the validity, enforceability or infringement of any E-Watch patents.

March Networks will reflect this settlement as a charge to earnings in the second quarter of fiscal year 2007. As a result of this charge the Company expects net earnings for the fiscal year ending April 30, 2007 to decline by approximately $1.5 million ($0.08 per share on a diluted basis).

Intellectual property law Patent Settlement