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Owners of Palm Personal Digital Assistant Models m500 and m505 Reach Settlement Over Electrostatic Problems

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Case ID: 2990 | Technology | 05/26/2004

The parties have reached a tentative nationwide settlement in an action filed against Palm, Inc. on behalf of all persons who own or owned a Palm personal digital assistant model m500 or m505, also known as a “Palm Handheld” manufactured by the defendant. The action alleges that the company violated California unfair business practices laws when it failed to disclose that the PDAs sometimes do not properly perform the HotSync operation to transfer data to and from a primary computer, as a result of an event involving electro-static discharge. Claim forms apparently must be postmarked by December 22, 2004, to be considered valid.

For purposes of settlement, the court has certified a class consisting of all persons and legal entities residing in the United States including the District of Colombia and territories and possessions, who owned for their own use a Palm Handheld model m500 or m505, between January 23, 1998, and December 22, 2003. Upon timely submission of a valid claim form (available on the website established for this settlement at www.EleySettlement.com), with adequate claim documentation, one or more of the following types of claim relief will be available:

1.) Palm will exchange Handheld owners’ USB cradle with a replacement (new or refurbished) USB cradle. The exchange will be at Palm’s expense, including shipping.

2.) Those owners who have their USB cradle exchanged and are not satisfied because their Palm Handheld continues to cease to perform the HotSync operation as a result of electro-static discharge will be provided with a preprogrammed (new or refurbished) SD card to reset the Palm Handheld at Palm's expense.

3.) Palm will replace any Handhelds for those owners of who, after replacement of the cradle and attempted resetting of the PDA, are still not satisfied because their Handheld continues to cease to perform the HotSync operation as a result of electro-static discharge. Palm reserves the right to supply either a new or refurbished Palm Handheld viewer of the same model type. To qualify for this relief, the PDA owner must return the Palm Handheld viewer and SD card that is not functioning correctly.


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