Court Finds Magnolia’s Advertising Not False and Misleading

The United States District Court declared towards the Southern District of California a summary in the Lanham Act about the advertising case filed between Magnolia and Kurin, Inc. being wrong. The ruling is that Kurin may no longer pursue its false advertising claims against Magnolia and will dismiss them. The court granted all claims of the other company managing based on the undisputed facts and laws. Thus, it would be reasonable that Kurin will prevail on its claim.

Magnolia Medical Technologies produces, manufactures, and sells innovative blood and bodily fluid sample devices in order to promote meaningful transformation in the necessary accuracy, flexibility, and predictability of laboratory tests. The company has amassed an intellectual property portfolio that includes over 70 issued method, apparatus, and design patents with over 50 pending patent applications. Magnolia Medical oversaw and developed the Initial Specimen Diversion Technique (ISDT) and Device (ISDD) for blood culture samples and contamination prevention.

The court, in order to uphold the judgment of Magnolia’s counterclaims, did not accept the effort of Kurin. In the same ruling, they allowed Magnolia to proceed with its false advertising allegations against Kurin. The court stated the blended results used for advertising were of controlled research due to the fact that the study does not control the use of the relevant device.

The controversy commenced in May 2018 when Kurin filed a lawsuit against Magnolia for supposedly creating false allegations regarding the efficacy and regulatory status of Steripath. Magnolia published that it had filed a countersuit against Kurin, claiming arbitrary competition and false advertising in August 2018, Meanwhile, in March 2019, Magnolia changed a charge to allege that Kurin infringed on four Magnolia patents.

The court found that Magnolia’s use of steady clinical study results in its advertising is proper. The controlled clinical research indicated in Magnolia’s advertising firmly depicts the effectiveness of the Steripath device. Thus, the court eventually found that Magnolia was not false and it did not mislead the Kurin Lock’s force in Magnolia’s comparative advertising.

According to Magnolia Medical, gratified assets were involved in the court ruling. The CEO clearly stated that from the beginning in response to the meritless lawsuit that an evidence-based company searches and is dependent on objective evidence, clinic data, and documented outcomes from the third party. According to co-founder Greg Bullington, “We find it unfortunate that Kurin filed this baseless lawsuit in an attempt to gain commercial advantage over Magnolia and create significant confusion in the marketplace. As a result, we defend against this unfounded accusations for over two years at a very significant expense.”

Bullington added, “However, as we believe the market recognizes, the real fight between Magnolia and Kurin is in federal court in Delaware, where Magnolia has unilaterally asserted patent infringement of 3 separate Magnolia patents against Kurin.”

In Magnolia’s statement, the court came to a resolve that its product requirements were not false or misleading and did not disrupt the effectiveness of its competitor’s Kurin Lock device, a blood collection system similar to Magnolia’s. Furthermore, the court found that Magnolia’s use of controlled clinical study results in its advertising is adequate and that the studies precisely depict the effectiveness of its Steripath blood culture collection system. The gist: Steripath is a clinically proven solution to address a crucial concealed dilemma in healthcare, the misdiagnosis of sepsis. Increasing the accuracy of diagnostic test results for sepsis diminishes unnecessary antibiotic treatment.

The treatment helps evaluate the growing threat of antibiotic resistance, diminishes hospital length of stay, and linked healthcare-acquired illnesses while remarkably decreasing avoidable hospital expenses. Magnolia did not state that the court discovered that particular statements made by it regarding the efficacy of its Steripath product are false. According to Kurin, Magnolia has made substantially false and misleading representations regarding its product. It added that it will continue to seek relief in court where relevant and necessitated.

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