This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Taser Is Sued By Inventor James McNulty For Patent Infringement.

LAS VEGAS, Sept. 27 /PRNewswire/ -- Inventor James McNulty, a senior member of the Society of Manufacturing Engineers, who was a member of the research staff of the late TASER inventor John "Jack" Cover and instrumental in development of the early law enforcement model TASERS™, today announced that he has sued Taser International, Inc. (Nasdaq: TASR) for patent infringement for its nascent production of wireless TASER shells, that can be discharged from conventional firearms (federal case docket no. 2:09-cv-00289-KJD-PAL). The suit claims that Taser sells the shells in violation of McNulty's "5,831,199" and "6,877,434" patents. The suit seeks an injunction against further sales, compensatory, exemplary (punitive) and enhanced damages and attorney's fees. A case filing lists the aerospace giant BAE Systems, Ltd., manufacturer of the Harrier Jump Jet, and its affiliate Defense Technology Corporation as entities that may have a direct financial interest in the successful outcome of McNulty's case.

Documents produced in the suit and other public filings show that affiliates of a number of the world's 10 largest defense contractors are potential competitors of Taser for any substantial military markets that may develop for less lethal electronic shock weapons.    

Documents produced in the suit show that one affiliate has already developed in competition with Taser's X12™ and X RAIL™ a combination weapon, that fires ammunition cartridges that can also be interchangeably fired from and sold as replacement ammunition for Taser's X26 and M26 stun pistols, and that the affiliate has already manufactured stocks of thousands of the ammunition rounds.

McNulty, a 27 year participant in the industry commented, "Documents already produced in the case show that this competitive ammunition technology has application in the law enforcement market for TASERS™ and TASER™ ammunition. Securities and Exchange Commission filings show that resale of ammunition for the over 359,000 M26 and X26 stun pistols, which have been sold by Taser to the law enforcement market, is a significant source of revenue for the company. In its last reported quarter ending June 30, 2010, Taser's ammunition cartridge sales accounted for over 25% of its total business. Taser has no basic patents that prevent any other company from manufacturing and selling competing ammunition for the X26 and M26 products.  

The prospect in my opinion is that Taser shall fight for ever smaller shares of competitively diminishing law enforcement and military markets for projectile stun guns and ammunition and against interest of such behemoth enterprises. Taser's Securities and Exchange Commission filings show that many of Taser's assets are plant and equipment, intellectual property and inventory for manufacture and sale of its current line of stun pistols and ammo. The value of these types of assets can quickly vaporize with advent of new competitive electronic control device technologies. I shall vigorously protect my advanced IP in this field for its licensees/prospective licensees."

SOURCE James McNulty

Copyright 2009 PR Newswire. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,387.21 -291.49 -1.65%
S&P 500 2,029.55 -27.54 -1.34%
NASDAQ 4,681.4970 -90.2660 -1.89%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs