Federal Signal Corporation Announces Legal Ruling Recommending Denial of Preliminary Injunction

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Jun 19, 2012, 08:00 ET

OAK BROOK, Ill., June 19, 2012 /PRNewswire/ -- Federal Signal Corporation (NYSE: FSS) announced today that Magistrate Judge Thynge of the Federal District Court in Delaware recommended that a motion for a preliminary injunction against the Company be denied.

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The Court issued its recommendation yesterday in Neology, Inc. v. Federal Signal Corporation, Federal Signal Technologies, LLC, and Sirit Corporation, et. al. Neology had filed a motion for a preliminary injunction seeking to enjoin Federal Signal from making and selling certain radio frequency identification products that operate in accordance with the ISO 18000-6C Standard ("6C tags") used for intelligent transportation and electronic tolling systems. Neology alleged in its motion that Federal Signal's products infringed certain patents owned by Neology, and that Neology suffered irreparable harm from the alleged infringement.

In a 72-page Report and Recommendation, Judge Thynge found that Neology had not met its burden to show it was entitled to a preliminary injunction, and recommended that Neology's motion for a preliminary injunction be denied.

Jennifer Sherman, the Company's Chief Administrative Officer, Senior Vice President, General Counsel, and Secretary, said, "We are very pleased with yesterday's result. We were confident that Neology was not entitled to a preliminary injunction, and we are gratified that the Court agreed. We look forward to prevailing on the merits of this matter at trial."

Additionally, on May 21, 2012, Neology filed but did not serve a second suit for patent infringement against Federal Signal in a Federal District Court in California, alleging that a certain radio frequency identification transponder manufactured by Federal Signal, namely, its IDentity Headlamp Mount Tag, infringed two patents owned by Neology relating to RFID devices with holographic images. Federal Signal has informed Neology that it does not manufacture or sell any RFID tags with a holographic image. Accordingly, Federal Signal has demanded that Neology dismiss this second complaint. Neology has not taken further action in this suit.

About Federal Signal

Federal Signal Corporation (NYSE: FSS) enhances the safety, security and well-being of communities and workplaces around the world. Founded in 1901, Federal Signal is a leading global designer and manufacturer of products and total solutions that serve municipal, governmental, industrial and institutional customers. Headquartered in Oak Brook, Ill., with manufacturing facilities worldwide, the company operates four groups: Safety and Security Systems, Environmental Solutions, Federal Signal Technologies, and Fire Rescue. For more information on Federal Signal, visit: http://www.federalsignal.com.

SOURCE Federal Signal Corporation