As notified in the Annual Report for 2010there is an on-going dispute regarding the Technology License Agreement entered into between Blom and Pictometry on 29 January 2009 which was terminated in October 2010. As a part of this dispute Pictometry petitioned for an interim injunction before Oslo City Court claiming that Blom are unlawfully competing with Pictometry.
By a decision dated 28 July 2011 Oslo City Court rejected the petition and awarded Blom legal costs. Pictometry appealed the decision claiming that Blom had to comply with the non-compete restriction in the License Agreement.
On the 1 March 2012 Borgarting Appellate Court finalised their decision and rejected Pictometry's appeal on a clear and unanimous basis and have awarded Blom legal costs.
The judge argued that Pictometry was not able to substantiate a need for an interim injunction. Firstly, the court found that Pictometry and Blom are not operating in the same market and consequently they are not competing for the same customer group. Furthermore, the Court stated that despite the fact that the License Agreement was terminated in October 2010 Pictometry has not been able to substantiate an adequate loss documenting a need for an injunction.
Blom has been successful in every legal proceeding Pictometry has initiated in Norway. Despite several attempts in the American and Norwegian court system, Pictometry has not succeeded in their legal attacks against Blom.
The dispute regarding the termination of the License Agreement, including all monetary claims, shall be settled by arbitration under ICC rules in London.