IVIEWIT HOLDINGS, INC.

 

 

 


P. Stephen Lamont

Chief Executive Officer

Direct Dial: 914-217-0038

 

 

 

March 18, 2003

 

 

Mark W. Gaffney

Law Office of Mark W. Gaffney

Boston Post Road

Larchmont, N.Y.

 

Re:      Supporting Evidence Pertaining to the Allegations Contained in the Florida State Motion and Counter Complaint

 

Dear Mark:

 

You have requested the documentation pertaining to the above, and, on behalf of Iviewit Holdings, Inc. and its subsidiaries (collectively, “Company”), I respond as follows:

 

1.      Memos, correspondence, retainer agreements, and legal bills showing scope of professional legal services expected of each of the various attorneys and/or undertaken by them.  General corporate, patent, trademark, licensing, etc.

 

a.       Proskauer Rose LLP:

 

 

b.      Meltzer Lippe Goldstein & Schlissel, LLP (“MLGS”)

 

                       

 

Mark W. Gaffney

March 18, 2003

Page 2

 

 

 

c.       Foley & Lardner[1]

 

2.      Detailed explanation of defects, whether negligence or fraud, in Joao's provisional patent applications.

 

a.        Video Scaling Technology

 

       

b.      Imaging Technology[2]

 

       

 

c.       Combined Technologies (ZoomVideo)[3]

 

 

3.      Detailed explanation of defect, whether negligence or fraud, in William Dick's patent applications.

 

a.        Video Scaling Technology

 

 

Mark W. Gaffney

March 18, 2003

Page 3

 

 

 

b.      Imaging Technology

 

 

4.      Documents showing disparity between what Eliot Bernstein expected attorneys to include in patent applications, and what they actually included.  If signature pages were switched or content was materially changed between time of signature by Eliot Bernstein and time of filing patent application, this allegation will need to be supported by detailed comparison of actual documents.

 

a.       Video Scaling Technology[4]

 

     

 

See Non-Provisional filings from 3.a. and 3.b. above.

 

b.      Imaging Technology

 

     

See Non-Provisional filings from 3.a. and 3.b. above.

 

c.       Alleged Switching of Signature Pages

 

 

 

Mark W. Gaffney

March 18, 2003

Page 4

 

 

 

As for the allegation of switched signature pages regarding the switched inventors, wherever all of, and only, Eliot I. Bernstein, Jude Rosario, and Zachiryl Schirajee (and in one case, Jeffrey Friedstein) do not appear as in Eliot Bernstein’s handwriting in the embedded file “Switched Inventors,” these are the alleged switched signature pages.  Moreover, Rubenstein, Joao, and Wheeler had full knowledge of inventors from the outset.

 

More specifically, the Company alleges that there existed two sets of patent books at Foley & Lardner, and that when all the inventors repeatedly executed all applications for Joao and Foley and were listed as such when the Company examined “Book 1” of the patents, a “Book 2” emerges without them and that is what is filed, oblivious of the true inventors, and included Brian Utley as an inventor.  

 

5.      Detailed narrative description of Iviewit’s initial technology licensing plans, what went wrong with them that was the fault of Wheeler/Utley/Rubenstein, etc., how much it cost Iviewit in terms of damages.  This would include names or categories of expected licensees, samples of non-disclosure agreements, basis for Iviewit’s claim for royalties, basis for setting royalty rate, and amounts of expected royalties.  We would need this information for an estimate of Iviewit’s damages - the difference between royalty income streams if (1) initial technology licensing plan had been executed correctly and (2) probable royalty income if Iviewit fixes the patent problems and (3) probable royalty income if Iviewit is not successful in fixing the patent problems.

 

        

 

See Exhibit B for the Company’s estimate of damages.

 

6.      Besides loss of technology licensing royalties, other categories of damages would be the fees and expenses Iviewit has incurred that would not have been necessary if Wheeler/Utley/Rubenstein/Joao/Dick had not harmed the Company.

 

 

(i)                  . Approximately $50,000 of past legal billings by Melztzer Lippe Goldstein & Schlissel;

(ii)                Approximately $200,000 of past legal billings by Foley & Lardner; and

(iii)               Amore thanpproximately $550,000 of past legal billings by Proskauer Rose LLP;

 

Mark W. Gaffney

March 18, 2003

Page 5

 

 

 

(iv)              Approximately $145,000 approximately $219,000 of legal fees in reviewing, a repair, and reassigning the Company’s patent applications by Blakely, Sokoloff Taylor and Zaffman of Los Angeles, Cal and additional patent counsel, and when domestic and international searches are included;

(v)                Approximately $210,000 of future legal bills as outlined in Exhibit A

 

The Company estimates the total of the above as $1,155,000.

 

Lastly, Mark, we are available to respond to any additional questions you may have, and, for convenience, I have attached the Company’s patent pending portfolio as Exhibit A.

 

Sincerely,

 

IVIEWIT HOLDINGS, INC.

 

By:      

            P. Stephen Lamont

            Chief Executive Officer

 

Cc:       Eliot I. Bernstein

            Caroline P. Rogers

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

EXHIBIT “A”

 

IVIEWIT PATENT PORTFOLIO

 

 

 

Provisional Application No.

Non- Provisional Application No.

Last Application Title

Estimated Cost to Repair

 

 

 

 

 

60,125,824

 

09,522,721

Apparatus and Method For Producing Enhanced Digital Video Images

 

Abandoned[5]

60,137,297; 60,155,404; 60, 169,559

 

09,587,734

System and Method For Providing an Enhanced Digital Video File

 

$40,000

60,137,297; 60,155,404; 60, 169,559

 

09,587,026

System and Method For Playing Video

$40,000

60,137,297; 60,155,404; 60, 169,559

 

09,587,730

System an Method For Streaming Video

 

$40,000

60,125,824; 60, 146,726; 60, 149, 737; 60,155,404; 60, 169,559

 

 

09,630,939 continued from 09, 522, 721

System and Method For Producing an Enhanced Digital Image File

Patent Counsel gave adequate review of embodiment and claims

 

N/A

New Filing For ZoomVideo

 

$55,000

 

N/A

U.S. and International Search Costs

 

 

$35,000

 

Total Estimated Costs

 

$210,000

 

 

 

 


EXHIBIT “B”

 

POTENTIAL DAMAGES


 

 



[1] The Company is unaware of any Retainer Agreement and legal bills are not available.

[2] The Company alleges that Joao markedly narrows the scope (environments) of the imaging invention, while the inventions he filed in his own name, include all encompassing environments (available upon request).

[3] The combined technologies, preliminarily termed ZoomVideo, are the largest revenue driver in the Company’s financial forecasts; regretfully, counsel never, much to the Company’s surprise, filed the combined patent application.

[4] Chris Wheeler’s office at Proskauer drafted this “form of video disclosure,” which, for security reasons was materially different from the actual invention; the actual invention was only disclosed orally at that conference call, and a tape of that disclosure is held by the files of Proskauer Rose on their admission.

[5] Abandoned, as a result of the more robust filing of 09,630,939.