BIOLASE Receives Favorable Rulings in Infringement Suit Against Hoya and Lumenis

BIOLASE Technology, Inc. (NASDAQ: BLTIE), a medical technology company that develops, manufactures and markets lasers and related products for dental and medical applications, announced today that the federal court presiding over the patent infringement lawsuit brought by Diodem LLC against HOYA ConBio and Lumenis, Ltd. recently issued several rulings in the lawsuit that are favorable to Diodem and BIOLASE.

BIOLASE was previously a named defendant in the Diodem lawsuit, but in January 2005 BIOLASE and Diodem finalized a settlement agreement, pursuant to which Diodem's patent portfolio was acquired by BIOLASE's independent subsidiary BL Acquisition II, Inc. ("BLA II") and Diodem became a licensee of BLA II. After the settlement, the remaining defendants, HOYA and Lumenis, argued to the Court that Diodem had lost standing to proceed with its lawsuit against them due to the assignment of the Diodem patents to BLA II and that the lawsuit should be dismissed. Defendant HOYA also argued, in a motion for summary judgment that the effect of the assignment from Diodem to BLA II was to give HOYA a license to the Diodem patents under the terms of a preexisting license agreement pursuant to which HOYA currently pays royalties to BIOLASE.

On September 13, 2005, the Honorable Gary A. Feess of the United States District Court for the Central District of California issued an order denying the Defendants' Motion to Dismiss and denying HOYA's motion for summary judgment. In the order, the Court also granted Diodem's cross-motion for summary judgment, which asked the Court to eliminate HOYA's license defense from the lawsuit based on HOYA's lack of supporting evidence, and granted Diodem's motion to join BLA II as a co-plaintiff in the Diodem lawsuit.

In addition, on September 15, 2005, the Court also denied the Defendants' motions for summary judgment, which sought to invalidate U.S. Patent Nos. 5,422,899, 6,122,300 (which cover mid-infrared lasers capable of operating at high repetition rates) and U.S. Patent No. 5,267,856 (which covers surgical methods that apply liquid, such as water, in conjunction with radiation that is highly absorbed by the liquid) based on a variety of grounds.

The case is scheduled to go to trial on November 15, 2005.

"We believe that the Court's rulings further solidify the strength of the patent portfolio held by BIOLASE and its subsidiaries and demonstrate the benefit to BIOLASE of its acquisition of the Diodem intellectual property earlier this year," commented Robert E. Grant, President and CEO.

About BIOLASE

BIOLASE Technology, Inc. (http://www.biolase.com) is a medical technology company that designs, manufactures and markets proprietary dental laser systems that allow dentists, oral surgeons and other specialists to perform a broad range of common dental procedures, including cosmetic applications. The company's products incorporate patented and patent pending technologies focused on reducing pain and improving clinical results. Its primary product, the Waterlase® system, is the best selling dental laser system. The Waterlase® system uses a patented combination of water and laser to precisely cut hard tissue, such as bone and teeth, and soft tissue, such as gums, with minimal or no damage to surrounding tissue. The company also offers the LaserSmile(TM) system, which uses a laser to perform soft tissue and cosmetic procedures, including tooth whitening.

This release may contain forward-looking statements that are based on the current expectations and estimates by our management. These forward-looking statements can be identified through the use of words such as "anticipates," "expects," "intends," "plans," "believes," "seeks," "estimates," "may," "will," and variations of these words or similar expressions. Forward-looking statements in this release include statements regarding future court hearings and rulings, the Company's ability to prove infringement, the Company's expectations as to the impact of the Court's ruling and the potential outcome of patent litigation. These statements speak only as of the date hereof, are based upon the information available to us now, are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict. Our actual results could differ materially and adversely from those expressed in any forward-looking statements as a result of a number of factors including, but not limited to outcome of the patent litigation, the ability of the Company to prove infringement, the possibility that even if infringement by the defendants or others is established, the Company may not be entitled to damages. Such information is subject to change, and we undertake no obligation to update such statements.

For further information, please contact: Robert E. Grant President & CEO John W. Hohener Executive Vice President and CFO Scott Jorgensen Director of Finance & Investor Relations of BIOLASE Technology, Inc. 1-949-361-1200