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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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FORM 8-K
CURRENT REPORT
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Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of report (Date of earliest event reported): January 2, 1997
CELLULAR TECHNICAL SERVICES COMPANY, INC.
(Exact Name of Registrant as Specified in its Charter)
Delaware 0-19437 11-2962080
(State or Other Jurisdiction (Commission File Number) (I.R.S. Employer
of Incorporation) Identification No.)
2401 Fourth Avenue
Seattle, Washington 98121
(Address of Principal Executive Offices) (Zip Code)
(206) 443-6400
(Registrant's telephone number, including area code)
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This Current Report on Form 8-K is filed by Cellular Technical
Services Company, Inc., a Delaware corporation (the "Company"), in connection
with the matters described herein.
ITEM 5. OTHER EVENTS
In an action brought against the Company by Reon International Corp.
and Reon Corp. in the Superior Court of King County, Washington, the plaintiffs
allege breach of contract, misappropriation of trade secrets, and breach of
other obligations by the Company. The action was filed in late July 1996 and,
since that time, a significant number of the plaintiffs' initial claims have
been dismissed. The plaintiffs have amended their complaint three times, most
recently in January 1997, and now allege that certain transactions between the
parties constitute a joint venture partnership. The plaintiffs seek dissolution
of the alleged joint venture partnership, damages in excess of $10 million, and
other relief. The Company has formally denied all of the plaintiffs' claims and
is vigorously defending this action. It is the opinion of the Company's
management that this action is without merit and will be resolved without a
material adverse effect on the Company.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
Date: January 27, 1997
CELLULAR TECHNICAL SERVICES,
COMPANY, INC.
By: /s/ Michael E. McConnell
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Michael E. McConnell,
Chief Financial Officer
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