Spin Master and Silverlit File Lawsuit against Soft Air and Sports

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Today's News February 15, 200801:30 PM Eastern Time Spin Master and Silverlit File Lawsuitagainst Soft Air and Sports Authority TORONTO--( BUSINESS WIRE )--Spin Master Ltd., theworld leader in flying toys and the exclusive North American distributor of theAir Hogs®Havoc Heli", theNumber one best-selling RC toy of 2007 and Silverlit Toys Manufactory Ltd., theHong Kong based company that develops and manufactures, the Air Hogs®Havoc Heli"announced today thatthey have filed suit against Soft Air USA and the Sports Authority retail chainafter Soft Air's knock off toy helicopter was recalled pursuant to an investigation by the U.S. Consumer Product Safety Commission.Soft Air's toy helicopter, known as the "MicroCopter" and sold at variousSports Authority outlets, on the surface looks exactly like the Air Hogs® Havoc Heli". But unlikethe Havoc Heli", the recalled MicroCopter does notappear to have a critical but costly component known as a PCM circuit orProtection Circuit Module, which protects the toy from battery relatedfires.

Upon learning of Soft Air's recall and seeing the knock off toyhelicopter on the news, consumers and retailers bombarded Spin Master withquestions and returns mistakenly believing that Soft Air's "MicroCopter" isa Spin Master product or produced by the same manufacturer. Spin Master andSilverlit did not manufacture the "MicroCopter" ... more. less.

and are not affiliated in anyway with Soft Air. Spin Master and Silverlit have sued Soft Air and SportsAuthority for patent and copyright infringement in U.S. District Court inCalifornia. They seek damages for lost profits and injury to their reputation and goodwill. Spin Master 9s CEO, Anton Rabie said: ''Wewill continue to protect our interests in this manner and show that if ourrights are infringed we will act. There are reputable sources for remote controlhelicopters and hopefully the trade will realize that dealing with thesesecondary knock-off products is a very poor choice." Breakthroughconcepts in aerodynamics, hardware and programming, including elements such asthe density of the foam fuselage material, advanced Li-Po batteries andprotective hardware to avert any possibility of overheating, all had to befinely tuned to ensure the quality, safety and performance of the Air Hogs®Havoc Heli " Every battery andmotor undergoes a rigorous testing procedure before they are installed in thetoys. All genuine Air Hogs®Havoc Heli" helicopters have a critical safety component known as aProtection Circuit Module which protects the toy from battery related fires(something the MicroCopter appears not to have). Spin Master andSilverlit have not received any complaints from customers about agenuine Air Hogs®Havoc Heli"catching fire. Spin Master and Silverlit are not the subject of anyinvestigation by the Consumer Product Safety Commission related to the AirHogs®Havoc Heli". c It is highly unlikely that counterfeiters areconcerned about these protective measures, so consumers may unwittingly havebought unauthorized knock-offs that pose fire and safety hazards forchildren, dnotes Eddie Wong, director of sales andmarketing for Silverlit. Adds Rabie, cWe feel it isimportant not just for our company, but also for our legitimate importers,distributors and the public, that we raise awareness of this problem. Ascreators of original product, we are constantly facing illegal knock-offs beingpurchased from China by retailers in North America because the knock-offs are cheaper. The product may look the same but invariably there are criticaldifferences that consumers should be cautious of. d Here are some ways to distinguish a genuine Air Hogs®Havoc Heli"from a knock off: All Air Hogs products are protectedfrom charging related fires by a PCM circuit, which adds to the cost of the product but is a critical safety component. The remote controller for Air Hogs products havethe "Air Hogs" logo on the top and the "Spin Master" name imprinted on thebottom of the controller. The underbelly ofthe Air Hogs®Havoc Heli"helicopter has a sticker with the "Spin Master" name printed on it. Spin Master and Silverlit are strongly committed to providingquality, safe and fun toys to consumers of all ages. Spin Master andSilverlit do not tolerate knock offs and intend toaggressively protect and enforce their intellectual property rightsin the United States and throughout the world. About Spin Master Spin Master"is the 6th largest and fastestgrowing toy company in North America according to recent NPD reports. A multi-category children 9s entertainment company since1994, Spin Master"has been designing, developing, manufacturing and marketing consumer products for children around the world.With the launch of Bakugan Battle Brawlers, Spin Master"has also marked its first foray into entertainment IP andtelevision production. Spin Master"is best known forsuch popular brands as Air Hogs®", Aquadoodle", Tech Deck, and MoonSand. Spin Master" employs over 500 people with officesin Toronto, Los Angeles, Paris, London, Hong Kong and China, and is proud to be recognized as one of Canada 9s 50 Best Managedcompanies. For additional information please visit: www.spinmaster.com . Contacts Spin Master Donna MacNeil, MediaContact , 416-670-5864 Donnam@spinmaster.com Spin Master and Silverlit File Lawsuit against Soft Air and Sports Authority 2008/2/26 http://www.businesswire.com/portal/site/home/?epi_menuItemID=8529ea2ad8631dcd3 ...

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