RFID LTD. Responds to Smart-Tek Lawsuit

18 May 2006

The Radio frequency identification (RFID) solutions company RFID, LTD. (OTC Bulletin Board: RFDL) today made the following statements regarding the California lawsuit filed by Smart-tek Solutions, Inc. (OTC Bulletin Board: STTK).

"RFID LTD's principals have a fundamental, constitutional right to speak out on matters of intense public interest, such as logistically-sound remedies for bird flu. RFID LTD will not be silenced by this or any other frivolous lawsuit," said RFID, LTD. general counsel Robert J. Corry Jr.

Strategic Lawsuits Against Public Participation (SLAPPs) are lawsuits filed with the intent of stifling a defendant's exercise of his or her First Amendment rights. Typically filed by corporations, SLAPPs have no intrinsic merit but instead aim at intimidating opponents into silence, sending a clear message to others that they too risk being sued if they speak out.

California's anti-SLAPP law allows courts to dismiss SLAPP cases at an early stage in the proceedings.

"Every word that RFID LTD has uttered about Smart-Tek is demonstrably true, and we look forward to litigating this case in the courtroom," added Corry.

"RFID, LTD. regrets having to spend time and energy on these distractions, but we have a responsibility to protect our market, and frankly the First Amendment," stated RFID, LTD president Nicholas Chavez. "We will not allow the presence of a baseless lawsuit to institute a chilling effect upon our right to exercise free speech."

RFID, LTD. is the world leader in formulating, testing and deploying vendor neutral UHF radio frequency identification (RFID) solutions for small to medium sized businesses required to comply with retail and government supply-side mandates.

Forward-looking Statements: This news release may include forward-looking statements within the meaning of section 27A of the United States Securities Act of 1933, as amended, and section 21E of the United States Securities and Exchange Act of 1934, as amended, with respect to achieving corporate objectives, developing additional project interests, the company's analysis of opportunities in the acquisition and development of various project interests and certain other matters. These statements are made under the "Safe Harbor" provisions of the United States Private Securities Litigation Reform Act of 1995 and involve risks and uncertainties which could cause actual results to differ materially from those in the forward-looking statements contained herein.

Source: prnewswire

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