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Boehringer Mannheim Diagnostics ordered to pay more than $6m

Ostex International Inc. said on Friday that arbitrators ordered Boehringer Mannheim Diagnostics to pay it $6.4 million for inadequately promoting an Ostex test for osteoporosis, Bloomberg News reports.

Boehringer Mannheim Diagnostics, based in Germany, is a unit of Bermuda-based Corange Ltd.

Seattle-based Ostex sells products used to diagnose bone and joint diseases.

Ostex said it cancelled the licence agreement and an accompanying research and development agreement in August 1995 and began legal proceedings.

An American Arbitration Association panel last week ordered Boehringer Mannheim Diagnostics to pay Ostex $5.7 million for lost profits. The company was also ordered to pay $700,000 in legal fees and expenses.