TSO3 Inc. announces that it has settled the ongoing dispute with the 3M Company through the mediation process. On Aug. 2, 2012, TSO3 announced that it had terminated its agreement with its former channel partner 3M, for the exclusive supply, distribution, license and service of the new STERIZONE® 125L+ Sterilizer branded as the 3M Optreoz 125-Z. The agreement, dated December 2009 and amended in May 2011, provided conditions for either party to terminate the agreement. TSO3 exercised this right and provided a letter of termination to 3M on June 15, 2012. 3M had disputed TSO3's right to terminate the agreement.
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In respect of the terms outlined in the settlement, limited details are being released. An amount of $2 million inclusive of the repurchase of inventory as well as settlement fees will be paid by TSO3 to 3M.
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"We are satisfied with the terms of the settlement and that the dispute has been settled," says R.M. Rumble, CEO of TSO3.
The current installed base of TSO3 STERIZONE® 125L+ Sterilizers (3M Optreoz 125-Z) will be supported by TSO3 until a new agreement is in place with a distribution partner. "We have maintained a close connection with the Canadian base of users and we have everything in place to maintain existing customers and provide additional support", concluded R.M. (Ric) Rumble.
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Source: TSO3 Inc.
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