Medbox, Inc. Files Suit Against The Makers of "Autospense"

HOLLYWOOD, Calif., April 26, 2012 /PRNewswire/ -- Medbox, Inc. (Pinksheets: MDBX) (www.medboxinc.com), through its affiliate companies, filed suit today in Orange County Superior Court against Dispense Labs, LLC, and its purported parent company, The Dispensary Group, Inc., for creating the Autospense Machine. The lawsuit alleges that the makers of Autospense ignored a cease and desist notice by Medbox and continued to market a machine that Medbox believes infringes on its federal patent (7,844,363 B1).

Medbox believes the lawsuit is imperative as Dispense Labs, LLC and its affiliates are tarnishing the image of the technology Medbox had created.

"By releasing press on a known recreational (non-medical) marijuana holiday (4-20) just to gain maximum media exposure for an idea that was our company's creation was ill-advised and reckless of Dispense Labs," stated Vincent Mehdizadeh, CEO and Founder of Prescription Vending Machines, Inc., a Subsidiary of Medbox, Inc. "The federal government already thinks of the medical marijuana industry as purely recreational, with very little medical value and companies like Dispense Labs reinforce that myth through their brazen actions."

Dispense Labs also touts its ability to grant "24 hour access" to marijuana through its system. While Medbox has had offers to provide the same service to marijuana clinics nationwide over the last few years, Medbox has declined such placements of its machines.

"The reality is that the federal government does not condone medical marijuana, they simply tolerate it as long as operators of medical marijuana outlets are not willful profiteers and can demonstrate some semblance of reasonable behavior," Mehdizadeh added. "The medical marijuana industry cannot legally justify 24-hour access to marijuana at this point in time and I will make it my mission to stop Dispense Labs before they make a mockery of our company's vital technology. It's about transparency, legal compliance, and ultimately longevity for an industry that needs to be on its best behavior to legitimately flourish."

About Medbox, Inc.: 

Medbox is a leader in the development, sales and service of automated, biometrically controlled dispensing and storage systems for medicine and merchandise. Medbox has offices throughout the world, including New York, Tokyo and Toronto, and has its corporate headquarters in Los Angeles.

Medbox provides its patented systems, software and consulting services to pharmacies, urgent care centers, clinics, hospitals, and medical groups worldwide.

Medbox, Inc. is a publicly traded company, and is listed on the OTC Board, ticker symbol MDBX.

For more information on Medbox, please contact the Medbox Investor Relations Department at (800) 762-1452 or go online to www.medboxinc.com.

 

SOURCE Medbox, Inc.



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