U.S. Court of Appeals Affirms in Part the Dismissal of Shareholder Class Actions

BERKELEY HEIGHTS, N.J., March 16 /PRNewswire-FirstCall/ -- Authentidate Holding Corp. (Nasdaq: ADAT), a worldwide provider of secure Health Information Exchange, workflow management services and telehealth solutions, today announced that the United States Court of Appeals for the Second Circuit has issued an order affirming in part and vacating and remanding in part the March 2009 decision of the U.S. District Court for the Southern District of New York, which had granted the company's motion to dismiss with prejudice shareholder class actions filed between June and August 2005 against the company and certain current and former directors and former officers.

"We are pleased that the Court of Appeals has agreed that so many of plaintiffs' claims with respect to much of the alleged class period were properly dismissed," stated Ben Benjamin, President of Authentidate Holding Corp. "In light of the decision, we intend to assert additional grounds to dismiss the pleadings and continue to vigorously pursue our defense of the action."

About Authentidate Holding Corp.

Authentidate Holding Corp. is a worldwide provider of secure Health Information Exchange, workflow management services and telehealth solutions.  The company's software and web-based services enable healthcare organizations and other enterprises to increase revenues, improve productivity, enhance patient care and reduce costs by eliminating paper and manual work steps from clinical, administrative and other processes and enhancing compliance with regulatory requirements. The web-based services are delivered as Software as a Service (SaaS) to customers interfacing seamlessly with billing and document management systems. These feature-rich solutions incorporate rules-based electronic forms, intelligent routing, transaction management, electronic signatures, identity credentialing, content authentication, automated audit trails and remote patient monitoring capabilities. Both web and fax based communications are integrated into automated and trusted workflow solutions.  The company has offices in the United States and Germany. In the United States, Authentidate offers its patent pending content authentication technology in the form of the United States Postal Service® Electronic Postmark® (USPS EPM®).

For more information, visit the company's website at www.authentidate.com.

This press release contains forward-looking statements within the meaning of section 27A of the Securities Act of 1933 and section 21E of the Securities Act of 1934. When used in this release, the words "believe," "anticipate," "think," "intend," "plan," "will be," "expect," and similar expressions identify such forward-looking statements. Such statements regarding future events and/or the future financial performance of the company are subject to certain risks and uncertainties, which could cause actual events or the actual future results of the company to differ materially from any forward-looking statement. Such risks and uncertainties include, among other things, the availability of any needed financing, the company's ability to implement its business plan for various applications of its technologies, related decisions by the USPS, the impact of competition, the management of growth, and the other risks and uncertainties that may be detailed from time to time in the company's reports filed with the Securities and Exchange Commission. In light of the significant risks and uncertainties inherent in the forward-looking statements included herein, the inclusion of such statements should not be regarded as a representation by the company or any other person that the objectives and plans of the company will be achieved.

Authentidate and Inscrybe are registered trademarks of Authentidate Holding Corp.  All other trade names are the property of their respective owners.

This press release is available on the KCSA Strategic Communications Web site at www.kcsa.com.

SOURCE Authentidate Holding Corp.