Document Security Systems' European Patent Validated in Kingdom of Spain by Spanish Commercial (Mercantile) Court in Madrid

ROCHESTER, N.Y., March 24 /PRNewswire-FirstCall/ -- Document Security Systems, Inc. (NYSEAMEX: DMC) ("DSS"), a leader in proven, patented protection against counterfeiting and unauthorized copying, scanning and photo imaging, announced today that the Spanish Commercial (Mercantile) Court in Madrid, ruled that the Company's European Patent No 0455750B1 (the "Patent") is valid in Spain. The judgment is the outcome of a 3 day hearing held during June - July, 2008.

The ECB failed in its attempt to have the patent invalidated on grounds of novelty, inventive step and most importantly found no grounds for added matter which has until now been the only reason for invalidation in other countries.  The decision allows Document Security Systems, Inc. to pursue patent infringement proceedings against the ECB and security printers in Spain.

"This decision by the Spanish Court marks the third validation of our patent in the European Union.  We have tried to reach out to the ECB on several occasions to settle this issue to no avail," said Patrick White, CEO of Document Security Systems.  "We remain hopeful that the ECB and the security printers will at least consider opening up some dialog to resolve this issue.  Without such dialog we have a fiduciary responsibility to our shareholders to uphold our valuable intellectual property portfolio."

"Trebuchet Capital Partners, which is pursuing the European patent validity and infringement lawsuits against the ECB on our behalf, can now begin infringement proceedings in Spain and Germany, just as they have in the Netherlands, the three countries in which the ECB failed in its bid to invalidate the Patent," added White.

To date, the validity of DSS' patent has been upheld in three jurisdictions, Germany, the Netherlands and now in Spain. It has been invalidated in the United Kingdom, Austria, Belgium and France (which was recently lost on appeal).  Invalidity in Italy was heard in 2009 and a decision has not been rendered.  The ECB had to win its lawsuit in nine national jurisdictions in the European Union in order to achieve a complete invalidation of DSS's patent in Euro zone countries and stop the Company's infringement actions against the Euro.

About Document Security Systems, Inc

Document Security Systems is a technology company in the security and protection services sector which develops and manufactures products and packaging containing patented and patent pending optical deterrent technologies that help prevent counterfeiting and brand fraud from the use of the most advanced scanners, copiers and imaging systems in the market. The company owns 14 patents and has another 57 patent-pending technologies and products which protect valuable documents and printed products from counterfeiters and identity thieves. The company has 3 manufacturing facilities which produce secure printing, packaging and plastic ID cards.  Document Security Systems' customers, which include international governments, major corporations and world financial institutions, use its covert and overt technologies to protect a number of applications including, but not limited to, currency, vital records, brand protection, ID Cards, Smart Cards internet commerce, passports, gift certificates and packaging.  Document Security Systems' strategy is to become the world's leading producer of cutting-edge security technologies for paper, plastic and electronically generated printed assets.

More information about Document Security Systems, Inc. and its products and services can be found at www.documentsecurity.com , www.plasticprintingprofessionals.com , www.protectedpaper.com , www.dpirochester.com and www.premiercustompkg.com .

Safe Harbor Statement

This release contains forward-looking statements regarding expectations for future financial performance, which involve uncertainty and risk. It is possible the Company's future financial performance may differ from expectations due to a variety of factors including, but not limited to, changes in economic and business conditions in the world, increased competitive activity, achieving sales levels to fulfill revenue expectations, consolidation among its competitors and customers, technology advancements, unexpected costs and charges, adequate funding for plans, changes in interest and foreign exchange rates, regulatory and other approvals and failure to implement all plans, for whatever reason. It is not possible to foresee or identify all such factors. Any forward-looking statements in this report are based on current conditions; expected future developments and other factors it believes are appropriate in the circumstances. Prospective investors are cautioned that such statements are not a guarantee of future performance and actual results or developments may differ materially from those projected. The Company makes no commitment to update any forward-looking statement included herein, or disclose any facts, events or circumstances that may affect the accuracy of any forward-looking statement.

SOURCE Document Security Systems, Inc.