SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
Current Report Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of report (Date of earliest event reported): November 3, 1997
IVI Publishing, Inc.
(Exact Name of Registrant as Specified in Its Charter)
Minnesota
(State or Other Jurisdiction of Incorporation)
0-22212 41-1686038
(Commission File Number) (I.R.S. Employer Identification Number)
7500 Flying Cloud Drive
Eden Prairie, Minnesota 55344
(Address of Principal Executive Offices) (Zip Code)
612-996-6000
(Registrant's Telephone Number, Including Area Code)
Not Applicable
(Former Name or Former Address, if Changed Since Last Report)
<PAGE>
Item 5. Other Events.
IVI Publishing, Inc. (the "Company") announced that a jury verdict has been
rendered in a case brought in February 1996 by T. Randal Productions, Inc. ("T.
Randal") and other plaintiffs against the Company and one current and two former
employees. The plaintiffs claimed, amoung other things, that the Company and the
named employees had misappropriated corporate opportunities and trade secrets
from a joint venture allegedly formed by T. Randal and the Company and/or one of
its employees and conspired to interfere with the business of T. Randal.
The jury found that there was no joint venture between the Company or any
of its employees with T. Randal, but that T. Randal's business was damaged by
the Company and its employees in their dealings with T. Randal in the amount of
$480,000. The verdict is subject to motions by either party for a new trial, a
judgment notwithstanding the verdict or to amend the findings and the right of
appeal.
T. Randal has another lawsuit pending against several significant
shareholders of the Company for substantially the same claims made by T. Randal
against the Company. The Company believes that the jury's verdict in T. Randal's
case against the Company will make it difficult for T. Randal to realize any
additional recovery against the shareholders. The Company has indemnified the
shareholders from any adverse financial consequences, including legal fees,
arising out of T. Randal's claims.
Tim Maudlin, Acting President and CEO of the Company, said, "It's good to
get the jury trial behind us. We don't believe any damages were warranted in
this case, but we are pleased that the jury agreed with our position that no
joint venture ever existed. Although there could still be additional legal
activities involving the T. Randal case against the Company, we believe this
verdict essentially wraps up a recent history of litigation against the Company.
Thanks to some favorable developments, including the recent restructuring of our
Mayo relationship, IVI has the cash necessary to pay the amount of the jury
award and to fund the plan to grow our business and make it profitable.
Item 7. Financial Statements and Exhibits.
(a) Financial statements: None.
(b) Pro forma financial information: None.
(c) Exhibits: None.
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.
Dated: November 7, 1997
IVI PUBLISHING, INC.
By /s/ Timothy I. Maudlin
Timothy I. Maudlin, Acting President and
Chief Executive Officer
