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Court: Toshiba Can Sell Flash Cards

7/11/2005 10:55:00 AM Eastern

San Jose, Calif. — Flash memory company Lexar Media lost its bid to block rival Toshiba from selling its flash memory cards in the U.S. market.

The decision, handed down by state court Judge Jack Komar, caps a court battle in which Lexar in March was awarded $465.4 million from Toshiba for violating an agreement to co-develop flash memory products and sharing trade secrets with Lexar’s arch-rival, SanDisk.

Komar cited Toshiba’s relationship with other flash memory manufacturers that would be unfairly impacted by an injunction as one reason he blocked Lexar’s bid.

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