SmartMetric Wins on Major Points in Its Appeal in the Federal Appeals Court on Its Patent Dispute With Visa and

Thu Apr 12, 2012 9:20am EDT

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  BUENOS AIRES, ARGENTINA, Apr 12 (Marketwire) -- 
SmartMetric, Inc. (OTCBB: SMME) -- The President & CEO of SmartMetric,
Inc., Ms. C. Hendrick, the developer of "secured by Biometric's" Credit
and Identity Cards, announced today that on April 11th, a Federal Appeals
Court in Washington, DC handed down a ruling in respect of the
SmartMetric Patent "474" in which the Appeal Court upheld the lower
District Court's ruling that the SmartMetric Patent covers by definition
the use of CONTACT Data Cards as well as dismissing at the same time the
lower Court's restriction of the SmartMetric "474" Patent to only private
networks. The Appeals Court did dismiss SmartMetric's appeal in respect
of Contact-less Cards.

    The vast majority of Credit and Debit Card transactions are Contact Card
transactions while Contact-less card transactions represent a small
percentage of all card transactions.

    This means that the parties being sued for Patent infringement, namely
Visa and MasterCard, have lost in their attempt to exclude ATM and Point
of Sale Credit Card Machines that use contact Data Cards from the
SmartMetric, Inc. patent. 

    Both Visa and MasterCard have announced and have begun to issue Data
Card, Credit Cards, that is Credit Cards with EMV Chip Cards. These
Credit and Debit Cards are often referred to as "Chip & Pin" Cards. All
such Cards are now according to the Federal Appeals Court by definition
to be in violation of the meanings as defined in the SmartMetric, Inc.
"474" issued Patent. 

    Furthermore, such EMV or "Chip & Pin" Cards are also in violation of the
SmartMetric Patent if they are even used on corporate intranets,
internets, public and or private networks. This means such Credit Cards
that are now standard issue in most parts of the world are in violation
when used in ATMs, Retail Card Reading Machines, etc.

    SmartMetric, Inc. welcomes the Federal Appeals Court Ruling and declares
that it will now continue with its stayed hearing lawsuit against Visa &
MasterCard and will seek all legal remedies at the company's disposal
including but not limited to damages for Patent Violation as well as any
other legal options open to the Company. SmartMetric's law suit for
Patent infringement against the largest Credit Card companies in the
World will now move forward based on the Federal Appeals Court Ruling of
April 11th, 2012.

    The following are excerpts from the Appeals Court Ruling: 

    "We therefore hold that the district court's construction of "insertion
of said data card into said data card reader" is correct."

    "Thus, this case does not present a claim differentiation concern.
Moreover, we see no reason why a data card that communicates with a card
reader using an embedded antenna cannot also be inserted into a data card
reader to immediately trigger an application program. We therefore hold
that the district court's construction of "insertion of said data card
into said data card reader" is correct."

    "We therefore hold that the district court's construction erroneously
limits network service providers to those providing access to
general-purpose public networks." 

    "The district court's judgment of non-infringement was independently
supported by its construction of either term. 

    For the reasons explained above, the district court's construction of
"plurality of network service providers" was erroneous; however, its
construction of "insertion of said data card into said data card reader"
was correct."

    About SmartMetric: 

    The SmartMetric, Biometric Card Computer provides powerful computing with
large memory capacity in a revolutionary size that has taken more than 10
years of research and development. Using the latest in sub micro
technology electronics, the company has achieved a level of
miniaturization that allows it to release a solution of portable
computing power that, combined with SmartMetric's biometric fingerprint
in-card scanning technology, is so revolutionary it will change the way
business is done and information is handled across a broad range of
industries. 

    For further information please go to the company's website:
www.smartmetric.com 

    Safe Harbor Statement: 

    Certain of the above statements contained in this press release are
forward-looking statements that involve a number of risks and
uncertainties. Such forward-looking statements are within the meaning of
that term in Section 27A of the Securities Act of 1933 and Section 21E of
the Securities Exchange Act of 1934. Readers are cautioned that any such
forward-looking statements are not guarantees of future performance and
involve risks and uncertainties, and that actual results may differ
materially from those indicated in the forward-looking statements as a
result of various factors. 

    

Contact:

Investor :
Constellation Asset Advisors, Inc.
tel: +1 (415) 524-8500

Company
SmartMetric, Inc.
tel: +1 786.623.5690 or +1.786.269.2238
email: ceo@smartmetric.com 

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