All three members of Salt Lake-based Laser Corp.'s board of directors have resigned and directed the company's attorneys to seek appointment of a receiver to direct its affairs and its ongoing litigation against the company founder, William H. McMahan, and a company wholly owned by him, HGM Medical Laser Systems Inc.

Laser Corp. President David G. Steinmetz said the board's decision to resign and seek appointment of a receiver was based solely on concerns regarding a management and governance stalemate arising from litigation disputes between the company and McMahan.He said the decision has nothing to do with the financial health of the company, emphasizing the company's financial position is strong and that the board has taken all available steps to assure that there will be no disruption in day-to-day operations.

Laser Corp. designs, manufactures and markets lasers and laser subassemblies.