WEST PALM BEACH, Fla. and NETANYA, Israel, Dec. 20, 2012 (GLOBE NEWSWIRE) -- magicJack VocalTec, Ltd. (Nasdaq:CALL) (the "Company"), the Voice Experts and cloud communications leader that invented voice over IP (VoIP) and sold over ten million magicJacks ®, announced today that in a patent infringement action brought against it by another company over U.S. Patent No. 8,243,722, the court granted a stay of the litigation in light of a pending re-examination proceeding in the U.S. Patent & Trademark Office seeking cancellation of that patent. The re-examination petition was filed prior to the filing of a lawsuit, and on November 14, 2012, the USPTO granted the petition on grounds including that recently submitted prior art references call into question the validity of the '722 patent. As set forth in magicJack's papers filed in support of its motion to stay the litigation, the USPTO found all thirteen of the grounds of invalidity asserted in the petition raise substantial new questions concerning the patentability of the '722 patent. Among the prior art references cited in the petition are two published patent applications assigned to YMax Communications Corp., an affiliate of the magicJack defendants named in the litigation — U.S. Patent Application Pub. No. 2007/0189270 to Borislow et al. and U.S. Patent Application Pub. No. 2007/0189271 to Borislow et al. — both of which predate the '722 patent by at least two and a half years. According to the court's order, the case is stayed until June 14, 2013, at which time the parties are to provide the court with a status report on the re-examination, and at which time magicJack may file a motion to continue the stay if needed. magicJack believes the re-examination process in the USPTO is a critical and necessary first step when companies don't properly disclose prior art and has previously used the process with great success against other supposed patents.
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CONTACT: Investor Relations Andrew MacInnes, President 561-749-2255 ir@magicJack.com Media Relations Kari Hernandez, INK Public Relations for magicJack 512-382-8982 firstname.lastname@example.org