VANCOUVER, BC–( EMWNews – April 8, 2008) – LML PAYMENT SYSTEMS INC. (“LML”) (NASDAQ: LMLP), is pleased to announce that the United States Patent & Trademark

Office has reissued United States Patent No. RE40220 (formerly United

States Patent No. 6,354,129) to LML’s subsidiary LML Patent Corp. The new

patent relates to electronic check payments and adds to LML Patent Corp.’s

already existing patent portfolio, including United States Patent Nos.

5,484,988; 6,164,528; 6,283,366; and 6,354,491.

“We are pleased that the United States Patent & Trademark Office has again

recognized the innovative concepts in LML’s technology,” said Patrick H.

Gaines, chief executive officer and president of LML Patent Corp and LML

Payment Systems Inc. “We are excited to welcome this new patent to our

portfolio.”

About LML Payment Systems Inc. (www.lmlpayment.com)

LML Payment Systems Inc., through its subsidiaries Beanstream Internet

Commerce Inc. in Canada and LML Payment Systems Corp. in the U.S., is a

leading provider of financial payment processing solutions for e-commerce

and traditional businesses. We provide credit card processing, online

debit, electronic funds transfer, automated clearinghouse payment

processing and authentication services, along with routing of selected

transactions to third party processors and banks for authorization and

settlement. Our intellectual property estate, owned by subsidiary LML

Patent Corp., includes U.S. Patent No. RE40220, No. 6,354,491, No.

6,283,366, No. 6,164,528, and No. 5,484,988 all of which relate to

electronic check processing methods and systems.

Cautionary Statement Regarding Forward-Looking Statements

Certain statements in this press release are “forward-looking statements”

within the meaning of the Private Securities Litigation Reform Act of 1995.

Forward-looking statements include all passages containing verbs such as

“aims,” “anticipates,” “estimates,” “expects,” “intends,” “plans,”

“predicts,” “projects” or “targets” or nouns corresponding to such verbs.

Forward-looking statements also include any other passages that are

primarily relevant to expected future events or that can only be evaluated

by events that will occur in the future. Forward-looking statements are

based on the opinions and estimates of the management at the time the

statements are made and are subject to certain risks and uncertainties that

could cause actual results to differ materially from those anticipated in

the forward-looking statements. Forward-looking statements in this news

release include our plans to deliver shareholder value. Factors that could

affect LML’s actual results include, among others, the impact, if any, of

stock-based compensation charges, the potential failure to establish and

maintain strategic relationships, inability to integrate recent and future

acquisitions, inability to develop new products or product enhancements on

a timely basis, inability to protect our proprietary rights or to operate

without infringing the patents and proprietary rights of others, and

quarterly and seasonal fluctuations in operating results. More information

about factors that potentially could affect LML’s financial results is

included in LML’s quarterly reports on Form 10-Q and our most recent annual

report on Form 10-K filed with the Securities and Exchange Commission.

Readers are cautioned not to place undue reliance upon these

forward-looking statements that speak only as to the date of this release.

Except as required by law, LML undertakes no obligation to update any

forward-looking or other statements in this press release, whether as a

result of new information, future events or otherwise.