Today: April 23, 2024
Today: April 23, 2024

US Supreme Court won't review Apple's win against $503 million patent verdict

Share This
LA Post: US Supreme Court won't review Apple's win against $503 million patent verdict
Blake Brittain
February 20, 2024

By Blake Brittain

WASHINGTON (Reuters) - The U.S. Supreme Court on Tuesday declined to hear patent-licensing company VirnetX's bid to revive a $502.8 million jury verdict it won against Apple in a dispute over internet-security patents.

The justices turned away Zephyr Cove, Nevada-based VirnetX's appeal of a lower court's decision to overturn the verdict against Cupertino, California-based Apple that had been reached by a jury in Tyler, Texas. VirnetX had challenged the U.S. Patent and Trademark Office's decisions to invalidate its patents.

Apple and VirnetX have waged a 14-year-long court battle over VirnetX's internet-security patents that has included several trials and appeals.

The jury awarded VirnetX $502.8 million in 2020 after a separate jury determined that Apple's iPhones and iPads infringed patents related to virtual private networks.

The patent office's Patent Trial and Appeal Board allows petitioners to challenge the validity of specific patents. The process, known as inter partes review (IPR), is often used by big tech companies that are frequently targeted with patent lawsuits to contest patents they are accused of infringing.

The board rejected Apple's requests to invalidate the patents under the IPR process after it found that Apple had waited too long to file its petitions. The board later declared the patents invalid based on separate requests from hedge fund Mangrove Partners in cases that Apple was allowed to join.

The patent-focused U.S. Court of Appeals for the Federal Circuit upheld the decisions to invalidate the patents and overturned the verdict last year. VirnetX had told the Supreme Court that letting the rulings stand would incentivize the "harassment" of patent owners at the board.

"A veritable cottage industry has sprung up," VirnetX said. "Entities with no discernable stake file IPR petitions challenging patents successfully asserted in litigation - only for well-heeled but time-barred infringement defendants to conveniently join the proceedings and shoulder the cost."

VirnetX cited a patent board case in which patent office director Kathi Vidal imposed sanctions on an entity called OpenSky Industries for attempting to extort both sides in a multi-billion-dollar dispute between Intel and patent owner VLSI Technology. Vidal removed OpenSky from the case based on its misconduct, and the tribunal allowed the challenge to a VLSI patent to continue with Intel leading it.

VirnetX also argued that former patent office interim director Drew Hirshfeld, who presided before Vidal was appointed, exceeded his authority by denying VirnetX's requests for director review of the decisions.

Apple and Mangrove responded that VirnetX's arguments were not supported by applicable federal law. President Joe Biden's administration, representing the patent office, also urged the justices to reject the case.

VirnetX previously won $440 million from Apple based on a 2016 verdict that the tech giant used its security technology in features like FaceTime video calls.

(Reporting by Blake Brittain in Washington; Editing by Will Dunham)


Jamal Murray sinks shot at buzzer to cap 20-point comeback and lead Nuggets past Lakers 101-99

Jamal Murray sank a 15-foot step-back jumper at the buzzer and the Denver Nuggets wiped out a 20-point second-half deficit to stun the Los Angeles Lakers 101-99 Monday night and take a 2-0 lead in their Western Conference playoff series

Nelly Korda puts bid for 6th straight victory on hold after withdrawing from Los Angeles tourney

Nelly Korda is putting her bid for a historic sixth straight victory on hold

Without cameras to go live, the Trump trial is proving the potency of live blogs as news tools

With cameras not allowed at former President Donald Trump's hush money trial in New York, live news blogs are coming into their own as an important news tool

Yankees manager Aaron Boone is ejected 5 pitches into game vs. Athletics

New York Yankees manager Aaron Boone was ejected by Hunter Wendelstedt five pitches into a game against the Oakland Athletics over a remark from a fan behind the dugout aimed at the plate umpire


Apple says it will hold event on May 7

US new home sales rebound in March

US homebuilder NVR tops profit estimates as tight housing supply spurs sales

Walmart-backed fintech One launches 'buy now, pay later' loans, CNBC reports

- Advertisement -
Advertisement: Limited Time Offer