Surgical Laser Sues Bard Over Broken Pact

Surgical Laser Technologies Inc. said it is suing C.R. Bard Inc., claiming Bard reneged on plans to jointly market a urologic laser delivery system in the United States and Japan.

Surgical Laser, based in Oaks, Pa., is seeking up to $62 million in compensatory damages and unspecified punitive damages. Surgical Laser said Bard backed out, citing a June, 1991, agreement with Trimedyne Inc. in Irvine, to market Trimedyne’s Urolase laser delivery system. Surgical Laser also said Bard claimed that Trimedyne had threatened to sue it.

A C.R. Bard spokesman said that while the company had not yet seen a copy of the lawsuit, Surgical Laser’s press release contained “a number of unsubstantiated allegations and opinions.” He said the company has already rejected Surgical Laser’s initial attempt to settle.

Under an agreement signed in July, Bard was to buy up to $36.5 million of Surgical Laser’s systems over five years and promote the product as Bard’s preferred laser system, according to Surgical Laser. Bard also was to make a $3.8-million payment to Surgical Laser in equity and cash.

The company said it had shared its most confidential information with Bard and changed its development plans to meet Bard’s requirements.

Bard, based in Murray Hills, N.J., is a health-care products company. Surgical Laser makes and sells surgical lasers and laser delivery systems.

Surgical Laser shares fell 12.5 cents Tuesday to close at $3 while Bard shares fell 37.5 cents to $25.875