================================================================================
UNITED STATES
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
April 12, 2001
(Date of Report)
April 2, 2001
(Date of earliest event reported)
-------------------------
Commission File Number 0-26816
IDX SYSTEMS CORPORATION
(Exact name of registrant as specified in its charter)
Vermont 03-0222230
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
1400 Shelburne Road
South Burlington, VT 05403
(Address of principal executive offices)
Registrant's telephone number, including area code: (802-862-1022)
================================================================================
ITEM 5. OTHER EVENTS
On January 18, 2001, the Company commenced a lawsuit against Epic
Systems Corporation, a competitor of the Company, the University of Wisconsin
Medical Foundation (the Foundation), and two individuals claiming, among other
things, that trade secrets of the Company involving its IDXtend medical group
practice system were wrongfully disclosed to, and misappropriated by, Epic in a
series of meetings that took place in 1998 and 1999. All of the defendants deny
the Company's claims. The Company's lawsuit seeks damages and injunctive relief
and was brought in the United States District Court for the Western District of
Wisconsin and is entitled, IDX Systems Corporation v. Epic Systems Corporation,
et al., No. 01C-0037-S. The Foundation has brought a counterclaim against the
Company claiming that its lawsuit interferes with a contract between the
Foundation and Epic, and that the confidentiality provisions in IDX's contracts
with the Foundation are invalid. The counterclaim seeks damages and declaratory
judgment. The Company denies the counterclaim. The lawsuit is in the preliminary
stages of discovery.
On April 2, 2001, Epic Systems filed an Answer denying the essential
elements of the Company's claims, and asserted counterclaims against the
Company. Epic alleges that the Company's claims asserting its trade secret
rights were brought in bad faith, with an intent to injure Epic competitively,
and thereby violated Sections 1 and 2 of the Sherman Act because the company
allegedly possesses monopoly power in the U.S. market for medical practice
information systems. Epic also claims that this same alleged conduct constitutes
intentional interference with its contract with the Foundation. The counterclaim
seeks treble damages. The Company is reviewing these claims and preparing its
response.
Page 2
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.
IDX SYSTEMS CORPORATION
(Registrant)
Date: April 12, 2001 /S/ JOHN A. KANE
By: ___________________________________________
John A. Kane
Vice President, Finance and Administration
Chief Financial Officer, and Treasurer
Page 3