GRAND PRAIRIE, Texas, July 8 /PRNewswire-FirstCall/ -- A Tarrant County trial court Thursday orally granted Precis, Inc’s motion for judgment in its favor notwithstanding a previous jury’s verdict and denied the plaintiffs’ motion for a judgment in their favor. In making its ruling, the court agreed with Precis that, because the jury found that there was no fraud committed by Precis, the claims brought by the plaintiffs were not permitted under Texas law. A written order and judgment are expected to be issued in the coming days.
In May 2005, in a lawsuit brought by a group of warrant and option holders led by Robert Kirk, a jury in Tarrant County, Texas determined that Precis did not act fraudulently or with malice in its dealings with the plaintiffs but did award over $1.1 million in damages to the plaintiffs based on findings of negligence. The plaintiffs were holders of Precis warrants and options who alleged that they had attempted to exercise their securities in 2002. The ruling relieves Precis of any obligation to pay the jury’s monetary award.
“We are very pleased with the court’s ruling. It’s an important victory for our company and our shareholders. Obtaining this relief from old litigation is much welcomed as we focus on the future and implement our new strategic plans and introduce new products and services,” said Frank Apodaca, President of Precis.
According to Eliseo Ruiz III, Precis’ Vice President and General Counsel, “We always believed that the plaintiffs’ claims were without merit. We are delighted that the court was able to honor the jury’s findings of no fraud and correctly hold that the plaintiffs’ negligence claims were not valid under Texas law.”
The plaintiffs had alleged that Precis, through a former employee, agreed to provide certain information deemed necessary by the plaintiffs for them to exercise their warrants and options for the purchase of Precis Common Stock in May, 2002, and then failed to timely provide the information. The case was heard in the 236th District Court of Tarrant County, Texas, Case No. 236 201 468 03.
Precis was represented by Roger Cowie and Brian Hamilton of Locke Liddell & Sapp, L.L.P’s Dallas office and by Charles Arnold of Cantey & Hanger in Fort Worth
About Precis Inc.
Precis Inc. and its subsidiaries market non-insurance health care savings programs, administer tax-favored reimbursement accounts, provide third party administration services to self funded employer groups and offer a broad range of financial solutions such as health and life insurance to individuals and businesses. For more information on Precis, its subsidiaries Care 125, Care Financial, LLC, and Access Administrators visit www.precis-pcis.com, www.care125.com, and www.care-financial.com, www.ahs-access.com respectively.
Contact: Eliseo Ruiz III Joe Diaz General Counsel The RCG Group Precis, Inc. 480-675-0400 972-343-6500 Annemarie Marek Marek & Company 469-235-2166
Precis, Inc.
CONTACT: Eliseo Ruiz III, General Counsel of Precis, Inc.,+1-972-343-6500; or Joe Diaz of The RCG Group, +1-480-675-0400; orAnnemarie Marek of Marek & Company, +1-469-235-2166, both for Precis, Inc.
