web analytics
10.3 C
Munich
Monday, September 20, 2021

Healthier Choices Management Corp. (OTCMKTS: HCMC) Major Run in the Works as HCMC Prepares Release of Exhibits That Prove the IQOS Device Does Combust

Healthier Choices Management Corp. (OTCMKTS: HCMC) is easily among the most exciting stocks in small caps that has emerged in recent months as one of the most talked about and searched for stocks in the OTC with over 400,000 shareholders of record. Currently under heavy accumulation HCMC has been attracting some pretty heavy hitters who see big things in the works here. HCMC broke south of support levels last week in a fake down to $0.0004 before coming back strong over support levels with power signaling to investors the next leg up is upon us with lots of catalysts in play for next week which should be a big one. A break over $0.0065 and its blue skies ahead for HCMC. Investors are looking for a huge lift once HCM is able to provide documents that the IQOS device does combust and the case will move forward. Representing HCMC is Cozen O’Connor ranked among the top 100 law firms in the country and employing more than 775 attorneys in 29 cities across two continents. The firm’s diverse client list includes global Fortune 500 companies, middle-market firms poised for growth, high-profile individuals and HCMC who must have a seriously solid case against PMI with outstanding chances.

On July 23, the District Court for the Northern District of Georgia granted Philip Morris motion to dismiss HCMC’s patent infringement action against them. HCMC has fourteen days to file a motion for leave to file a further amended complaint, which HCMC intends to do by said deadline which is August 5. The entire case boils down to whether PMs IQOS device combusts and if HCM can prove the IQOS device combusts. According to the lawsuit: Claim 1: the first of two independent claims for HCM’s patent, recites several limitations, including that the electronic pipe transmits an electric current from the battery to the heating element…initiating a combustion reaction and 11: Claim 5 the other independent claim recites a method for igniting the pipe that includes initiating by way of the heating element, a combustion reaction. To ensure that the pleading nevertheless meets twombly/iqbal plausibility standard, the courts require plaintiff’s to “do more than assert that the product infringes the claim; it must show how the defendant plausibly infringes by alleging some facts connecting the allegedly infringing product to the claim elements. This is usually done by exhibits in the form of attachments which HCMC did provide. Exhibit J is PM’s FDA report where the FDA was discussing the marketability of the IQOS device determine whether it combusts or not for health reasons. Judge Timothy C. Batten, points out that because it was attached to the complaint it can now be part of the lawsuit and the battle to dismiss. Judge Batten decided he was not going to decide Summary judgement, the problem is that HCM is arguing that there is combustion but their attachment says there is no combustion. HCMC now has 14 days to provide new documents that show the IQOS device does in fact combust as they have been alleging all along. If HCM can show that the IQOS device does in fact combust than the case will move forward, if not than HCMC lawsuit against PM will be over. At the same time, we have about a month and a half wait for HCMC to respond to PMs petition to the patent office for a review of HCMs patents. HCMC most likely will be able to provide documents that the IQOS device does combust and the case will move forward. 

Healthier Choices Management Corp. (OTCMKTS: HCMC) operates via a number of divisions producing growing revenues. Operating via its subsidiaries, Healthy Choice Markets and Healthy Choice Markets 2, the Company operates both Ada’s Natural Market, a 18,000 sq. ft. full-service grocery store serving the Fort Myers, FL, and three Paradise Health & Nutrition locations in the greater Melbourne, FL area. HCMC operates 8 vape stores across the southern US offering alternatives to traditional cigarettes. Operating regionally, through its Vape Store brands, including The Vape Store, Vapor Max, Vulcan Vape, and The Grab Bag locations, the Company’s Vape Stores provide a large selection of vaping hardware and e-liquids. HCMC is already a revenue powerhouse doing over $1 million per month in sales in 2020; on March 5 HCMC announced financial results for the fourth quarter and fiscal year ended December 31, 2020. In Q4 the Company delivered improvement in adjusted EBITDA for fiscal year 2020. Net sales from continued operations for the year ended December 31, 2020 amounted to $13.9 million, compared to $15.1 million during the same period last year.   

HCMC owns a valuable patent portfolio related to both vape technology and also manufacturing processes and procedures for an imitation nicotine product. HCMC patented Q-Cup™ technology is based on a small, quartz cup called the Q-Cup™, which can be bought already filled by a third party in some regions, or can partially fill themselves with either cannabis or CBD concentrate also purchased from a third party.  The Q-Cup™ can then be inserted into the patented Q-Unit™, which heats the cup from the outside.  The Q-Cup™ and Q-Unit™ technology provides more efficiency and an excellent solution for consumers.  The Q-Cup™ can also be used in other devices as a convenient micro-dosing system. Most recently, HCMC formed a wholly owned subsidiary, HCMC Intellectual Property Holdings, LLC, to hold and market its intellectual property assets. The subsidiary will own all of the patents, trademarks and other intellectual property of HCMC and will be utilized in the company’s attempt to monetize its intellectual property.   

HCMC has an excellent CEO working hard behind the scenes; CEO Jeffrey Holman; a seasoned executive and corporate lawyer also serves as President of Jeffrey E. Holman & Associates, P.A., a South Florida Based law firm. Christopher Santi, the Company’s COO and President is sales executive who served as President of Santi Management Corporation before joining the Company. 

HCMC filed a patent infringement lawsuit in the United States District Court for the Northern District of Georgia against PM (Philip Morris USA, Inc. and Philip Morris Products S.A.) concerning PMs “IQOS®.” Cozen O’Connor is representing HCMC in their lawsuit against Phillip Morris which claims that PM is infringing on HCMC’s patent rights in connection with IQOS®, which is an alternative tobacco product marketed and sold by Phillip Morris. PM has already invested over $3 billion in their smokeless tobacco products and is approaching 14 million users of its IQOS® This is part of PMs ongoing transition from traditional cigarettes to modified risk tobacco products, such as IQOS®. The IQOS® is currently the subject of a number of lawsuits including two other patent infringement proceedings filed by RJ Reynolds Tobacco Company.   

Earlier this year PM filed a petition with the Patent Trial and Appeal Board of the U.S. Patent and Trademark Office seeking to institute inter party review proceedings to invalidate HCMs U.S. Patent No. 10,561,170. HCMC management is currently reviewing Philip Morris’ IPR petitions and will oppose the institution of the IPR proceedings and, if the IPR proceedings are instituted, the Company is fully prepared to vigorously defend the validity of the Patent. 

The law firm representing HCM is Cozen O’Connor, an international law firm employing 775 attorneys in 29 cities across two continents. The Company is ranked among the top 100 law firms in the US and its diverse client list includes global Fortune 500 companies, middle-market firms poised for growth, high-profile individuals and ambitious upstarts like HCMC. The firm has been awarded as the #1 law firm of the year several times. 

https://twitter.com/Jon27642561/status/1420437843546099716

Subscribe to Microcapdaily Right Now for more on HCMC by entering your email below 

HCMC

HCMC

Microcapdaily started to report on HCMC in January 2021 stating at the time: “Healthier Choices Management Corp (OTCMKTS: HCMC) is making a swift move up the charts in recent days trading billions of shares and emerging as a volume leader in small caps. On Wednesday alone HCMC dollar volume topped $20 million USD.”

The Company recently launched its patented quartz Q-Cups® with the health center in Colorado, which The Health Center will pre-fill with their high quality NUHI brand concentrates and make available to consumers in their Colorado dispensaries. The Health center plans to distribute their high quality NUHI concentrate product in HCMC Q-Cup® technology. HCMC also entered into an Exclusive Authorized Filling Agreement for its Q-Cup®technology in Canada with 6PAK Solutions Inc., the sister company and distribution arm of ATG Pharma Inc. ATG Pharma is a leading manufacturer of filling machines in both Canada and the U.S, and manufacturer of the Q-Cup® robotic filling machine. 

On July 20 U.S. Patent Number 11,064,732 entitled Electronic Vaporizer Cartridge with Encased Heat Source was issued to HCMC. This patent covers novel HCMC technology directed at a vaporizer cartridge with internal components encased in a non-reactive material such as quartz, ceramic or the like. This process avoids a potentially toxic reaction between e-liquid, cannabis or CBD oils, or other substances, and the heated metal components of the cartridge. This patent grant expands HCMC’s portfolio of patent assets that promote a healthier way to vape. 

For More on HCMC Subscribe Right Now! 

Healthier Choices Management Corp is easily among the most exciting stocks in small caps that has emerged in recent months as one of the most talked about and searched for stocks in the OTC with over 400,000 shareholders of record. Currently under heavy accumulation HCMC has been attracting some pretty heavy hitters who see big things in the works here. HCMC broke south of support levels last week in a fake down to $0.0004 before coming back strong over support levels with power signaling to investors the next leg up is upon us with lots of catalysts in play for next week which should be a big one. A break over $0.0065 and its blue skies ahead for HCMC. Investors are looking for a huge lift once HCM is able to provide documents that the IQOS device does combust and the case will move forward. Representing HCMC is Cozen O’Connor ranked among the top 100 law firms in the country and employing more than 775 attorneys in 29 cities across two continents. The firm’s diverse client list includes global Fortune 500 companies, middle-market firms poised for growth, high-profile individuals and HCMC who must have a seriously solid case against PMI with outstanding chances. On July 23, the District Court for the Northern District of Georgia granted Philip Morris motion to dismiss HCMC’s patent infringement action against them. HCMC has fourteen days to file a motion for leave to file a further amended complaint, which HCMC intends to do by said deadline which is August 5. The entire case boils down to whether PMs IQOS device combusts and if HCM can prove the IQOS device combusts. According to the lawsuit: Claim 1: the first of two independent claims for HCM’s patent, recites several limitations, including that the electronic pipe transmits an electric current from the battery to the heating element…initiating a combustion reaction and 11: Claim 5 the other independent claim recites a method for igniting the pipe that includes initiating by way of the heating element, a combustion reaction. To ensure that the pleading nevertheless meets twombly/iqbal plausibility standard, the courts require plaintiff’s to “do more than assert that the product infringes the claim; it must show how the defendant plausibly infringes by alleging some facts connecting the allegedly infringing product to the claim elements. This is usually done by exhibits in the form of attachments which HCMC did provide. Exhibit J is PM’s FDA report where the FDA was discussing the marketability of the IQOS device determine whether it combusts or not for health reasons. Judge Timothy C. Batten, points out that because it was attached to the complaint it can now be part of the lawsuit and the battle to dismiss. Judge Batten decided he was not going to decide Summary judgement, the problem is that HCM is arguing that there is combustion but their attachment says there is no combustion. HCMC now has 14 days to provide new documents that show the IQOS device does in fact combust as they have been alleging all along. If HCM can show that the IQOS device does in fact combust than the case will move forward, if not than HCMC lawsuit against PM will be over. At the same time, we have about a month and a half wait for HCMC to respond to PMs petition to the patent office for a review of HCMs patents. HCMC most likely will be able to provide documents that the IQOS device does combust and the case will move forward. We will be updating on HCMC when more details emerge so make sure you are subscribed to Microcapdaily so you know what’s going on with HCMC.

Sign Up now for our 100% FREE Penny Stock Newsletter

Disclosure: we hold no position in HCMC either long or short and we have not been compensated for this article.

More articles

1 COMMENT

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Latest article

Sign up now for our 100% FREE Penny Stock Newsletter

Privacy Policy. we will never share your email with anyone.