throbber
DECLARATION OF ROBERT KAISER
`
`Robert Kaiser, being duly sworn upon his oath, alleges and says as follows:
`
`1.
`
`I am over eighteen years old and have personal knowledge of the matters set forth
`
`in this Declaration.
`
`2.
`
`I am the President and Vice President of Kaiser Medical, Inc. (“Kaiser Medical”),
`
`a Pennsylvania Corporation located at 8 Independence Way, South Hampton, New Jersey 08088.
`
`3.
`
`In 2002, Kaiser Medical designed a static progressive/dynamic orthotic called the
`
`DigiStretch/TenoStretch (“TenoStretch”).
`
`4.
`
`The TenoStretch was available in five types; digits, wrist, elbow, knee, and/or
`
`sup/pro.
`
`5.
`
`Kaiser Medical initially prepared design drawings for the TenoStretch in late June
`
`2002. Attached as Exhibit “A” are true and accurate design drawings for the TenoStretch.
`
`6.
`
`I also drew by hand all of the partslfor the TenoStretch in June 2002.
`
`I drew the
`
`handwritten drawings on the back of a printout from Holistic—online.com dated June I9, 2002. A
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`true and accurate copy of the handwritten drawings are attached as Exhibit “B”.
`
`7.
`
`Kaiser Medical offered the TenoStretch for sale at
`
`the American Academy
`
`Orthopedic Surgeons (“AAOS”) meeting in New Orleans, which occurred from February 5, 2003
`
`to February 9, 2003.
`
`8.
`
`9.
`
`By the February 2003 AAOS meeting, the TenoStretch was ready for patenting.
`
`I am told John H. Wood from Capital Medical Corporation and Ted Brown from
`
`Lantz Medical,
`
`Inc.
`
`(then U.S. Medical Products,
`
`Inc.)
`
`recall me showing a prototype
`
`TenoStretch at the 2003 AAOS meeting.
`
`Lantz Medical, Inc.
`Exhibit 1008
`
`

`
`10.
`
`On November 21, 2003, Mike Salem from Isokinetics, Inc. (“lsokinetics”) signed
`
`a purchase order to purchase forty TenoStretch orthotics. A true and accurate copy of the
`
`Isokinetics purchase order is attached as Exhibit “C”.
`
`II.
`
`Isokinetics paid Kaiser Medical $3,000.00 pursuant to the purchase order.
`
`12.
`
`On November 21, 2003, Ted Berman from Omni Motion, Inc. (“Omni Motion”)
`
`signed a purchase order to purchase forty TenoStetch orthotics. A true and accurate copy of the
`
`Omni Motion purchase order is attached as Exhibit “D”.
`
`13.
`
`Omni Motion paid Kaiser Medical $2,000.00 pursuant to the purchase order in or
`
`about December 2003.
`
`14.
`
`Omni Motion paid a second $2,000 deposit to Kaiser Medical pursuant to the
`
`purchase order on January 5, 2004. A true and accurate copy of the Kaiser Medical Sales
`
`Invoice for Omni Motion’s second deposit is attached as Exhibit “E”, and a true and accurate
`
`copy of Omni Motion’s January 5, 2004 check is attached as Exhibit “F”.
`
`15.
`
`On November 21, 2003 and/or December 3, 2003, Ted Brown from US. Medical
`
`Products, Inc. (“U.S. Medical”) signed a purchase order to purchase forty TenoStretch orthotics.
`
`A true and accurate copy of the November 21, 2003 purchase order is attached as Exhibit “G”,
`
`and a true and accurate copy of the December 3, 2003 purchase order is attached as Exhibit “H”.
`
`16.
`
`U.S. Medical paid Kaiser Medical $3,000 pursuant to the purchase order.
`
`l7.
`
`In December 2003, Kaiser Medical purchased parts to fulfill the Isokinetics, Omni
`
`Motion, and U.S. Medical purchase orders. True and accurate copies of the requests for
`
`quotation for purchased parts are attached as Exhibit “I”.
`
`I8.
`
`Kaiser Medical delivered a TenoStretch orthotic to at least U.S. Medical and
`
`Omni Motion no later than March 2004.
`
`LANTZ 1008.2
`
`

`
`19.
`
`U.S. Medical intended to otter the Tenostretch for sale as the U.S. Medical Dyno
`
`Static orthotic.
`
`20.
`
`Omni Motion offered the Tenostretch for sale as the Kaiser Medical Tenostretch.
`
`21.
`
`Omni Motion published a picture of the Ten0Stretch orthotic and description of
`
`the TenoStretch orthotic’s design features in its Upper Extremity Products and Services
`
`brochure. A true and accurate copy of the Omni Motion brochure is attached as Exhibit “J”.
`
`The TenoStretch is on page 6.
`
`22.
`
`I understand that the Omni Motion brochure was distributed throughout Nevada
`
`and California.
`
`23.
`
`Omni Motion’s Ted Berman informs me that he remembers Ornni Motion likely
`
`showing a Tenostretch oxthotic at one or more American Society of Hand Therapists shows.
`
`24.
`
`Robert Tidwell, a former Omni Motion salesman, confirmed with me that Omni H.
`
`Motion had a physical Tenostretch orthotic and that he distributed the brochure featuring the
`
`Ten0S1retch throughout California.
`
`25.
`
`Attached as Exhibit “K” are true and accurate photographs of the TenoStretch.
`
`The top photograph is a prototype Tenostretch sold to Omni Motion and included in the Omni
`
`Motion brochure described in this Declaration, paragraph 21. The remaining photographs are
`
`what remain of the prototype delivered to U.S. Medical.
`
`I understand that the foregoing representations are made under the pains and penalties of
`
`perjury-
`
`FURTHER AFFIANT SAYETH NAUG
`
`Date'g\%q K 20,5
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`herb data, Shepherds Purse, Capsella bursa~pastoris, cocowort, shepherd's heart, pickpocket, Page 1 of 2
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`Herb Information
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`Biological Name: Ca se
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`ursa-—pastoris
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`Cruclferae
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`Other Names: Shepherds Purse, cocowort, shepherd's heart, pickpocket, toywort,
`pick purse, St. James’ weed, St. James‘ wort, St. Anthony's tire, pepper grass,
`shepherd's sprout, mother's heart, case wort, permacety
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`Polypeptides of undetermined structure
`Plant acids; fumaric and bursic acids
`Bases; choline, acetylcholine, histamine, tyramine.
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`Remedies For:
`
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`Astringent, diuretic, anti-inflammatory. detergent, vulnerary, styptic.
`Used wherever a gently diuretic is called for, for instance in water retention due to
`P kidney problems. As an astringent it will prove effective in the treatment of diarrhea,
`
`. wounds, nose bleeds, and other conditions. It has specific use in the stimulation of
`the menstrual process whilst also being of use in the reduction of excess flow.
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`1 Traditionally used for hemorrhage after child birth, and all other internal
`hemorrhages, bleeding from lungs, fever, kidney complaints, bleeding piles. and
`_: hemorrhoids.
`
`Combinations : Combines well with Agrimony, Cranesbill or Periwinkle
`
`
`Dosage:
`
`Infusion: pour a cup of boiling water onto 12 teaspoonfuls of the dried herb and
`,
`leave to infuse for 1- minutes. if it is used for menstrual conditions, it should be
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`a drunk every 23 hours during and just before the period. Otherwise drink it three
`times a day.
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`'Fncture: take |~2ml of the tincture three times a day.
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`Safety:
`
`No information available. Some herbs are known to react with your medication.
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`0 ?@\OS.\\' 1
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`Terms of Isokinetics, Inc. Purchase Order #33333333
`Medical includes a prepayment
`This purchase order from Isokinetics, Inc. to Kaiser
`se of 40 of the new DigiStretchJ'l"enoStretch static
`by Kaiser Medical. the purchase
`towards the purcha
`progressive/dynamic orthotics under development
`my mix any typelof the new
`price of each splint will be $3 $0.00. Isokinetics, Inc.
`Anticipated delivery of
`1 this order.
`orthotic devices (digits, wrist, elbow or sup/pro) to fr
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`the new line will be March 2004.
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`1
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`000.00 will be required as a
`A total payment of $3
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`This amount will be p
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`November 2003. Each monthly paym
`fusal to the exclusivity
`sokinetics, Inc.first right of re
`The payment of this deposit allows I
`issippi. Isokinetics,
`lahoma Tennessee, and Miss
`of these new devices forArkansas, Ok
`t‘ the new orthotic line.
`construction 0
`lncalso has the right to approve the final design and
`ed within a reasonable ti
`If for any reason this product line is not finish
`$3000.00 deposit towards purchase of
`2004, Isolcinetics, Inc. has the right to use the
`lI
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`other Kaiser Medical equipment.
`
`The final payment
`The total of this purchase order will be $14,000,00.
`ical in the usual terms of net 30
`331100000 will be made to Kaiser Med
`of final products.
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`
`ISDKINETICS
`
`PAGE
`
`Bl
`
`.0
`
`November 21 , 2003
`
`ii ')oU§
`
`
`
`Terms of Isolcinetics,’ Inc. Purchase Older #3333333 I
`
`payment
`This purchase order from Isolcinetics, Inc. to Kaiser Medical includes a
`.
`~
`towards the purchase of40 ofthe r'1ew‘DigiStretclz/Tenostretch static
`e purchase
`' progressive/dynamic orthotics under developnient by Kaiser Medical. l
`price ofeach splint will be $350.00. Isoléineticis, Inc; may mix any type ofthe new
`orthotic devices (digits, wrist, elbow or sup/proytofill this order. Amid axed delivery of
`the new line will be March 2004.
`.
`‘
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`A total payment of $3000.00 will be required as a deposit towards this urchase order.
`. This amount will be paid to Kaiser Medical over a 3 month period com arising in
`November 2003. Each monthly payment will be $1000.00.
`.I
`
`The payment ofthis deposit allows Isokinetics, Int-..fimt right ofiefusal lo the exclusivity
`ofthcse new devices fomrkansas, Oklahoma Tennessee, and Mississip i. Isolcinetics,
`Inc.also has the right to approve the final design and construction ofth new orthotic line.
`Iffor any reason this product line is not finished within a reasonable ti e after March
`2004, Isolcinetics, Inc. has the right to use the $3000.00 deposit towar
`purchase of
`other Kaiser Medical equipment.
`
`,
`
`Thetotalofthispuxchuseorderwillbe$14,000.00. Thefinalpaymentiatotaling
`
`$11000.00 will be made to Kaiser Medical in the usual terms of net 30 aye after receipt
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`November 21; 2003
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`Terms of Omni Motion Purchase Order #
`
`This purchase order fiom Omni Motion to Kaiser Medical includes a prepaymenftowards
`the purchase of 40 of the new Digistretch/TenoStretch static progressive/dynamic
`. orthotics under development by Kaiser Medical. The purchase price of each splint will.
`be $350.00. Omni Motion maymix any type of the new orthotic devices (digits; wrist,
`elbow or sup/pro) to fill this order. Anticipated delivery ofthe_ new line will'be March
`I
`2004.
`
`A total payment of$6000.00 will be required as a deposit towards this purchase order.
`This amount will be paid to Kaiser Medical over a 3 month period commencing in
`. November 2003. Each monthly payment will be $2000.00.
`
`The payment of this deposit allows Onmi Motion first right of refusal to the exclusivity
`of these new devices for California Omni Motion also has the right to approve the final
`design and constructionof the new orthotic line. Iffor any reason this product line is not
`finished within areasonable time after March 2004, Omni Motion has the right to use the
`$6000.00 deposit towards purchase of other Kaiser Medical equipment.
`
`The total ofthis purchase order will be $14,000.00. The final payments totaling
`$8000.00 will be made to Kaiser Medical in the usual terms of net 30 days afier receipt of
`final products.
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`LANTZ 1008.54
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`omni Motion,
`Atpn: Accounts Payable
`19167 Highway 18, Suite 6
`Apple Valley,CA 92307
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`2ND. DEPPOSIT — CK. #13970
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`Total:
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`2000.00
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`November 21 , 2003
`
`Terms of U.S. Medical Products, Inc. ‘Purchase Order # 35458
`
`This purchase order from U.S. Medical Products, Inc. to Kaiser Medical includes a
`prepayment towards the purchase of 40 of the new DigiStretch/Tenostretch static
`progressive/dynamic orthotics under development by Kaiser Medical. The purchase
`price of each splint will be $350.00. U.S. Medical Products, Inc. may mix any type of the
`new orthotic devices (digits, wrist, elbow, knee, or sup/pro) to fill this order. Anticipated
`delivery of the new line will be March 2004.
`
`A total payment of $3000.00 will be required as a deposit towards this purchase order.
`This amount will be paid to Kaiser Medical over a 3 month period commencing in
`November 2003. Each monthly payment will be $1000.00.
`
`The payment ofthis deposit gives U.S. Medical Products, Inc. first right of refusal to the
`exclusivity of these new devices for Indiana. U.S. Medical Products, Inc. also has the
`right to approve the final design and construction of the new orthotic line. If for any
`reason this product line is not finished within a reasonable time afler March 2004, U.S.
`Medical Products, Inc. has the right to use the $3000.00 deposit towards purchase of
`other Kaiser Medical equipment.
`
`The total of this purchase order will be $14,000.00. The final payments totaling
`$8000.00 will
`ade to Kaiser Medical in the usual terms of net 30 days after receipt of
`
`. ufns, Inc. (Authorized Representative)
`
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`U.S. -.», '
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`
`Date: Ill?’ [03
`
`Kaiser Medical ( -. nthorizcd Representative)
`
`LANTZ 1008.57
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`December 3, 2003
`
`Terms ofthe U.S. Medical Products, Inc Purchase Agreement:
`
`This purchase agreement from U.S. Medical Products, lne. to Kaiser Medical includes a
`prepayment towards the purchase of 40 of the new DigiStretchfTenoStretch static
`_
`progressive/dynamic orthotics under development by Kaiser Medical. The purchase
`price of each splint will be $350.00. U.S. Medical Products, lne. may mix any type of the 0
`new orthotic devices (digits, wrist, elbow, sup/pro, knee, ankle, ect..) to fill this order.
`Anticipated delivery of the new line will be March 2004.
`
`A total payment of $3000.00 will be required as a deposit towards this purchase order.
`This amount will be paid to Kaiser Medical over a 2 menu: period commencing in
`V December 2003. The first monthly payment will he $2000.00. A The second monthly
`payment will be $1000.00.
`~
`
`Medical Products, Inc. first right of refusal to the
`‘ The payment ofthis deposit allows
`exclusivity ofthcse new devices for the state of Indiana. U.S. Medical Products, Inc. also
`has the right to approve the line} design and construction of the new orthotie line. If for
`any reason this product line is not finished within a reasonable time aficr March 2004,
`U.S. Medical Products, lne. has the right to use the $3000.00 deposit towards purchase of
`other KaiserMedical equipment. A
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`The total ofthis purchase order will be $14,000.00. The final payments totaling
`$1 1,000.00 will be made to Kaiser Mcdical'in'tl1e usual terms of net 30 days after receipt
`of final products. _
`0
`
`lfthis purchase agreement is acceptable to Kaiser Medical, please sign and send a copy
`of this agreement to U.S. Medical Products, lne., 42 Carriage Lake Drive, Brownsbuig,
`IN 46112.
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`Kaiser Medicall
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`Bensalem, PA 19020
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`(215) 245-6650
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`LANTZ 1008.59
`
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` Stock Drive Products
`
`Sterling |lIStf|.I|‘|'|ent
`Divixions ol Dcxignalroniu, Inc.
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`2:0: Jencno Turnpike, am 5-no. New Hyde Park, NY 110425416
`TEL: 51 (,.3z3.3300
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`KAISER MEDICAL INC
`WICKER & PENNSYLVANIA
`
`BENSALEM, PA
`
`19020
`
`ATTN: BILL PIRRUNG
`
`DEC
`
`19,2003
`
`PHONE:
`
`(215) 245-6650
`
`OUR REF#: AIO312110134
`
`CUSTOMER‘S INQUIRY: FAX
`
`REPRESENTATIVE:
`
`IMAGITRON
`
`QTY
`
`PART NUMBER
`
`CUSTOMER DRAWING NUMBER UNIT PRICE/SU
`
`50.
`
`A 1B 6RL3341l
`
`100.
`250.
`500.
`
`$
`
`$
`$
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`
`30.87/EA
`
`23.97/EA
`20.42/EA
`18.48/EA
`
`DESCRIPTION:
`
`WORM GEAR
`
`24 D.P., 60 TEETH
`PER CUSTOMER P/N DYN643O REV A
`
`DELIVERY:
`
`STARTING 6-8 WEEKS (NOT INCLUDING
`TRAVEL TIME).
`
`STOCK DRIVE PRODUCTS
`
`NET 30 days.
`
`FOB New Hyde Park, NY. Prices quoted valid 60 days.
`
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`z1o\Jcl-l:rIoTurnplke. eons-us. New Hyde mu. NY I104:-5416
`
`TEL: 516-328-3300
`FAX: 516-826-3321
`Division: of Outgnmronkzs. Inc.
`
`KAISER MEDICAL INC
`WICKER & PENNSYLVANIA
`BENSALEM, PA A
`
`19020
`
`ATTN: BILL PIRRUNG
`
`DEC
`
`19,2003
`
`PHONE:
`
`(215) 245-6650
`
`OUR REF#: AI0312110134
`
`CUSTOMER‘S INQUIRY: FAX
`
`REPRESENTATIVE:
`
`IMAGITRON
`
`_..._____._..______.._.____.___.__....
`
`PART NUMBER
`A 1B 6RL33411
`
`CUSTOMER DRAWING NUMBER UNIT PRICE/SU
`$
`30.87/EA
`$
`23.97iEA
`g
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`
`QTY
`50.
`100,
`'5'#3.
`
`DESCRIP'I‘ION:
`24 n.p.,
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`PER CUSTOMER P/N DYN6430 REV A
`
`
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`
`FOB New Hyde Park, NY.
`
`LANTZ 1008.61
`
`

`
`
`
`KAISER MED'cAL "QC.
`
`
`
`J . no.eox92a . eensatam.PAl9020
`
`[216] 245-6650
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`Fax: (215) 245-5473
`
`Innovators in Rehabilitation
`
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`LANTZ 1008.63
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`new I§SxfLI%(eaLIEa7 V
`
`Designed for the Upper Extremity Specialist
`
`EXHIBIT
`
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`LANTZ 1008.64
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`No other Rehabilitation Equipment Company
`Knows The Upper Extremity like...
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`Dmni Motion is a full service provider of specialty orthopedic rehabilitation
`equipment. Many of our patient service personnel are medical professionals
`and we have built our reputation on providing the best service in the industry.
`We are now introducing a new line of upper extremity CPM devices that are
`far superior to anything that has been available in the past. The TenoGlide
`Upper Extremity System is a whole new concept in upper extremity continuous
`passive motion.
`
`Dmni Motion offers you and your patients more than just the state of the
`art in CPM devices, cryotherapy, dynamic and static progressive orthotics,
`electrotherapy, bracing and other
`specialty orthopedic rehabilitation
`equipment. We also function as part of the rehabilitation team. This
`combination of superior service and equipment has helped to make Dmni
`Motion one of the fastest growing Durable Medical Equipment companies in
`the Western United States. We understand that the needs of the patient
`come first and we will always provide our services with the individual patient in
`mind. Our technicians are available 24 hours a day, 7 days a week in the
`
`event an emergent situation may arise.
`
`At Dmni Motion we take our service seriously and we work closely with the
`prescribing Surgeons and Physicians, Therapists and Insurance Carriers. This
`helps to ensure that the patients are receiving the most appropriate
`equipment and are following the proper protocol to achieve their optimum
`rehabilitation outcome.
`
`if you ever have a question, problem, complaint or recommendation, we
`encourage you to call 800 735-01 12 and ask to speak to Ted Berman. Ted
`is the President of Omni Motion, and he is committed to always remaining
`
`LANTZ 1008.65
`
`

`
` i
`
`
`
`
`
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`
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`The
`
`Digj_GIide
`
`TenoGIide
`
`The TenoGlide is the first CPM with the ability to
`accomplish a true tenodesis motion of the wrist and hand.
`The advanced electronics can be programmed to isolate motion of the fingers or wrist
`independently, or combine any sequence of motions in either a synchronized or random
`
`pattern.
`
`The TenoGlide also has additional features such as a Fast Expand mode that can aid
`the patient who needs to “warm up” to their target range of motion. A ReFlom mode
`can also be programmed if you want to focus on the patient’s end range of motion in
`both extension and flexion. A pause feature at both end ranges of motion can also be
`utilized if indicated.
`
`As always, the trained personnel at Omni Motion will help evaluate the individual needs
`of each patient and set up the device as indicated by the ordering clinician.
`
`Our contracts with virtually every workers compensation entity and insurance
`
`
`
`
`
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`LANTZ 1008.66
`
`

`
`Kaiser Medicars
`lenode
`
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`Wrist Flexion with Finger Extension
`
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`
`
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`
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`
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`
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`
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`
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`
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`
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`
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`
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`
`
`
`LANTZ 1008.67
`
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`The DigiG|ide is the newest hand
`CPM available. This device can be
`used either with or without a forearm
`
`splint. The use of the DigiG|ide without
`the forearm splint allows the patient to
`have full range of motion of their wrist while
`they are using the CPM.
`
`
`
`The DigiGlide is well balanced on the dorsum of the hand, so it can be used comfortably
`without the forearm splint attached. The dynamic spring finger wires help accomplish a
`full composite fist and the device is programmable to achieve a range from full finger
`extension to 270 degrees of composite flexion.
`
`The DigiGlide also has the same additional features as the TenoGlide, such as Fast
`Expand, Pause and ReRom.
`
`Toronto H3
`
`The Toronto H3 is still the only hand CPIVI capable of the continuous exc

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