Ap­ple pre­vails in court rul­ing, saves $650 mln, for now

Financial Mirror (Cyprus) - - FRONT PAGE -

In a Fri­day rul­ing by a fed­eral judge in East Texas, a $650 mln judg­ment against Ap­ple Inc. (NAS­DAQ: AAPL) has been tossed and two new tri­als have been or­dered. The loser in the de­ci­sion is patent holder Vir­netX Hold­ings Corp. (NYSEMKT: VHC).

Vir­netX won a $368 mil­lion award in an­other case the com­pany brought against Ap­ple and won in late 2012 re­lated to Vir­netX’s claim that Ap­ple in­fringed a Vir­netX patent in the vir­tual pri­vate net­work func­tion­al­ity of iOS’s FaceTime app.

The de­ci­sion an­nounced by Vir­netX on Mon­day is based on what lay­men (like us) would con­sider a tech­ni­cal­ity. The judge ruled that in the re­trial for dam­ages re­lated to the ear­lier case, “re­peated ref­er­ences to the prior jury ver­dict in the con­sol­i­dated case re­sulted in an un­fair trial.” The court ruled that the cases must be tried again and tried separately.

In a state­ment, Vir­netX CEO Ken­dall Larsen said: “We are dis­ap­pointed by the Court’s de­ci­sion to va­cate its prior rul­ing on con­sol­i­da­tion and or­der­ing the par­ties to retry the cases as two sep­a­rate mat­ters. We are re­view­ing all our op­tions and will fol­low the Court’s di­rec­tion as we start pre­par­ing for these re­tri­als. We are con­fi­dent that we have the re­sources re­quired for these re­tri­als. We trust that the jury will again make the right de­ci­sion in the re­tri­als.”

Ac­cord­ing to Vir­netX , the com­pany has two cur­rent patent in­fringe­ment law­suits pend­ing against Ap­ple in the East­ern Dis­trict of Texas. The first case in­cludes un­re­solved re­manded is­sues re­lated to (1) dam­ages owed to Vir­netX for in­fringe­ment by Ap­ple’s orig­i­nal VPN-on-De­mand (VOD), and (2) the al­leged in­fringe­ment, dam­ages and will­ful­ness of Ap­ple’s orig­i­nal FaceTime prod­uct. The se­cond case cov­ers is­sues of al­leged in­fringe­ment, dam­ages and will­ful­ness by Ap­ple’s redesigned VOD in iOS 7 and 8, the redesigned FaceTime in iOS 7 and 8 and OS X 10.9 and 10.10 and iMes­sage.

Vir­netX stock plunged to more than 40% to an in­tra­day low of $2.14, in a 52-week range of $1.95 to $9.64. Shares traded as high as $40 in early 2013. (Source: 24/7 Wall St.com)

Newspapers in English

Newspapers from Cyprus

© PressReader. All rights reserved.