Raytel and MDI settle litigation

October 15, 1997

Imaging services firms Raytel Medical and Medical Diagnostics have settled their dispute related to Massachusetts Mobile Imaging Venture, a joint venture between the two companies. Under the terms of the settlement, Raytel will receive approximately

Imaging services firms Raytel Medical and Medical Diagnostics have settled their dispute related to Massachusetts Mobile Imaging Venture, a joint venture between the two companies. Under the terms of the settlement, Raytel will receive approximately $230,000 from an escrow account associated with the disputed venture. In addition, both parties will drop all claims and related litigation regarding the joint venture and certain other claims pending in state court, according to San Mateo, CA-based Raytel. The dispute began before MDI was acquired by USDL earlier this year.

In other Raytel news, the company announced that its application to operate an outpatient cardiovascular diagnostic facility in Fremont, CA, has been denied by the California Department of Health Services. The company intends to file an administrative appeal. On the positive side, Raytel this month finalized an agreement to develop a heart center at Baptist Hospital of Southeast Texas in Beaumont, TX.