GE files suit to overturn Star ruling

GE Medical Systems is trying to overturn an arbitration panel'sruling that the Milwaukee vendor owes Star Technologies $9.1 millionfor allegedly breaking a contract between the firms. Star, ofSterling, VA, had been supplying GE with CT reconstruction processorsuntil early last year, when GE broke off the deal in favor ofits own processors. Star accused GE of using Star technology todevelop the new processors (SCAN 3/27/96).

GE filed a state court lawsuit in Delaware last month to overturnthe ruling, and; has also filed an appeal with the American ArbitrationAssociation, according to Brenda Potosnak, Star's controller andtreasurer. Star maintains that GE's avenues for appeal of theruling are limited. A GE representative declined to comment onthe dispute.