Toronto, Canada
Musicrypt Seeks Damages for Patent Infringement
Musicrypt Inc., (TSX-V:MCT, OTCBB:MCYPF) the industry’s leading provider of secure digital media distribution, today announced it has filed a suit for $15 million in damages against Destiny Media Technologies Inc. (OTCBB:DSNY.OB), Destiny Software Productions, Inc. of Vancouver, Promo Only Inc. of Orlando, Florida and Promo Only CD’s Inc. of Calgary, Alberta alleging patent infringement.
“Protection of intellectual property rights is essential to the functioning of a modern society,” said John Heaven, President and CEO of Musicrypt. “Our customers in the music and broadcast industries have a thorough understanding of the necessity to respect these rights. This action seeks to protect Musicrypt’s valuable technology and compensate our stakeholders for what Musicrypt believes is the deliberate and ongoing contravention of these. It is not our intent to litigate this by press release but rather by proper judicial process, which we are pursuing vigorously.”
In July 2005 Musicrypt’s patent counsel faxed and delivered a registered letter to Destiny Media and Promo Only in the US and Canada advising them of Musicrypt’s patent rights and demanding that they cease the alleged infringement of these. Musicrypt firmly believes that Destiny's and Promo Only's current system infringes Musicrypt's patent and that the validation for access purposes as claimed in Musicrypt's patent is not limited to biometrics.
Musicrypt's patented Digital Media Distribution System (DMDS) is the leading secure B2B digital delivery solution for the music industry. DMDS is a web-based delivery system that pioneers secure digital file distribution by incorporating biometrics, high-value encryption and watermarking. The first application of DMDS replaces the physical distribution of new musical recordings by record companies from the studio, internally, and to radio stations with more secure, more effective and less costly digital distribution of broadcast quality media via the Internet. Musicrypt trades on the TSX Venture Exchange (TSX-V) under the symbol MCT and in the U.S. under OTCBB:MCYPF. For more information on Musicrypt, please visit www.musicrypt.com
The statements contained in this release that are not purely historical are forward-looking statements and are subject to risks and uncertainties that could cause such statements to differ materially from actual future events or results. Such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.