Medidata Solutions, Inc. posted fourth-quarter net income of $18.7 million or $0.76 per share versus $13.3 million or $0.55 per share last year. Non-GAAP net income for the quarter fell to $9 million or $0.37 per share from $15.5 million or $0.64 per share in the fourth quarter of 2010.

Going ahead, for the first quarter of 2012, the company expects revenues to be between $48.5 and $49.5 million.

In spite of positive growth, the provider of SaaS clinical technology solutions had some legal issues with DataSci from 2009, in which DataSci says Medidata breached contract when it came to paying out royalties from an agreement in 2007.

Medidata paid $6.3 million to settle the matter, which granted them non-exclusive license to DataSci patents related to the litigation.

On June 18, 2009 DataSci filed suit against Medidata in Maryland. Justia.com notes the nature of the lawsuit as “Contract – Other Contract” so it’s a guess this is related to the 2007 agreement between Medidata and DataSci over patent 6496827.

Medidata settled that dispute for $2.2 million.

All the legalese aside, the non-cash GAAP tax benefit of approximately $19 million according to a press release per Medidata “expects that its effective income tax rate will range from 38 percent to 42 percent and its cash income tax expense will range from 28 percent to 32 percent of its taxable income for 2012.”

“We are very pleased to have achieved sustainable profitability as defined by GAAP and expect to continue to deliver profitable growth for the foreseeable future,” said Cory Douglas, chief financial officer.