Augme Seeks to Add AOL, Inc. as Additional Defendant to Augme’s Pending Patent Infringement Case Against Tacoda, Inc., Fil

NEW YORK--(BUSINESS WIRE)-- Augme Technologies, Inc. (OTCBB: AUGT) announced today that on Friday, May 14, 2010, it filed a “Motion for Leave to File Second Amended Complaint Joining Claims Against AOL Based Upon Fraud and Inequitable Conduct” related to its pending patent infringement action against Tacoda, Inc. Augme’s action against Tacoda is pending in the United States District Court, Southern District of New York, Case No. 1:07-cv-07088 (CM).

The Tacoda action was filed in August 2007 shortly after Tacoda was acquired by AOL, Inc. in a transaction that contemplated Tacoda continuing its business operations as a wholly owned subsidiary of AOL. Later, in mid-2008, Augme filed a separate trademark infringement action against AOL, which is now pending before a different judge in the same court in New York. Augme’s action against AOL was later amended to add additional claims for patent infringement and to add as additional defendants Time-Warner, Inc. and Platform-A, Inc.

To date, Augme’s patent infringement claims in the AOL case have been “stayed” (suspended) pending resolution of the Tacoda action. Due to the historic segregation of the Tacoda and AOL infringement cases, premised upon the understanding that Tacoda was continuing to operate its business as a separate legal entity, Augme’s action against Tacoda has focused on Tacoda’s alleged patent infringement for the period of 2004 through 2008.

Augme’s May 14, 2010, Motion alleges that, based upon new evidence discovered by Augme, it would unfairly prejudice Augme to continue to stay the AOL infringement case pending resolution of the Tacoda action, given that Tacoda is no longer operating as a separate entity and that AOL, as a matter of law, is responsible for Tacoda’s liabilities in this matter. Among other things, Augme’s Motion specifically alleges that Tacoda is currently a mere “shell” company with no apparent assets to satisfy a judgment against it. Further, Augme alleges that, based upon recently discovered evidence, AOL has been dominating and controlling Tacoda during almost the entire period this action has been pending, with Tacoda operating as a “division” within AOL, and that as a result AOL has become the alter ego of Tacoda and thus should be directly liable for Tacoda’s alleged patent infringement.

Augme’s Motion seeks to add AOL as an additional defendant in the Tacoda action and to hold AOL liable for Tacoda’s infringement of Augme’s patents during the time that Tacoda was under AOL’s control. The Motion further argues that AOL should not be permitted to use the Tacoda “shell” as a liability “shield” while simultaneously using Tacoda’s technology and goodwill. Permitting Augme to amend its Complaint against Tacoda to include AOL as an additional defendant will avoid any possible fraud or inequity upon Augme in its pursuit of remedies against Tacoda for alleged infringement of Augme’s patents.

About Augme Technologies, Inc.

Augme Technologies, Inc. (OTCBB: AUGT) is the technology and services leader in interactive media marketing platforms that enable marketers and agencies to seamlessly integrate brands, promotions, video and other digital content through the power of the Internet and mobile communications. Augme’s intuitive new media marketing platforms give companies the control they need to quickly create, deploy and measure rich-media, interactive marketing campaigns across all networks and devices. Campaigns built on Augme marketing platforms condense the customer loyalty cycle by delivering personalized brand experience to customers where they work, play and live. Through its three operating divisions including mobile marketing (AD LIFE™), video content delivery (AD BOOM™) and ad network provisioning (AD SERVE™), Augme is connecting brands and content to consumers in a network of mobile and multimedia experiences enabling companies and their marketing agencies to create new markets and monetize brand interactions. Augme is headquartered in New York City. For more information, visit www.augme.com.

Augme Technologies, Inc.™, Augme™, AD LIFE™, AD BOOM™, AD SERVE™ and the Augme logo are trademarks of Augme Technologies, Inc. All rights reserved. 2009-10.

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Augme Technologies, Inc.
Media Contact:
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