RIMM

[s_dooley24]

Not sure if anyone has been following Research in Motion lately, but has been if the news regarding patent infringment...big update today and quasi-victory for RIMM

This is movers and skakers though so first the stock price

RIMM RESEARCH IN MOTION LIMITED
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Prev. Close Date 02/23/2006

Judge declines to issue injunction against RIM
BlackBerry service to continue to operate, but judge urges settlement

BREAKING NEWS
MSNBC News Services
Updated: 12:58 p.m. ET Feb. 24, 2006


RICHMOND, Va. - A judge Friday stopped short of ordering an immediate shutdown of millions of BlackBerry portable e-mail devices made by Research In Motion Ltd.

But U.S. District Judge James Spencer said there was no escaping that RIM had been found to be infringing on NTP Inc.?s patents and he would issue a decision on an injunction ?as soon as reasonably possible.?

RIM, a Canadian company that makes the BlackBerry devices, has been locked in a court battle for more than four years with privately held NTP Inc., which argued that RIM unfairly used some of its patents.

The two companies reached a tentative settlement of $450 million early last year, but the deal fell through.

U.S. District Judge James Spencer heard arguments today from NTP, which wanted the judge to halt U.S. sales and shut down U.S. BlackBerry service. The judge granted such an injunction in 2003 but stayed it pending RIM?s appeal.

RIM urged the court to give more time to the U.S. Patent and Trademark Office, which is reexamining the NTP patents. Earlier this week, the agency rejected the first of five patents closely tied to the court case.

NTP, based in Arlington, Va., sued in 2001, and a year later, a federal jury agreed that RIM had infringed on the smaller firm?s patents. The jury awarded NTP 5.7 percent of U.S. BlackBerry sales ? a rate that U.S. District Judge James Spencer later boosted to 8.55 percent.

RIM has denied any patent infringement and contended that a court order halting U.S. service would be premature. It said in court documents there is an ?exceptional public interest? in maintaining uninterrupted BlackBerry service, especially for workers in national security, health and safety.

The small devices to send and receive e-mail ? which can also have organizer, cell phone and other functions ? are used by about 3 million Americans, including Bush administration officials, members of Congress and executives. Some users have complained about thumb injuries from overusing the tiny keyboards on their so-called ?CrackBerries? to send a steady stream of messages during meetings and while traveling.

 

[selkirk]

This case has received a great deal of attention in Canada. Rim is a Canadian company.

Do not understand the US legal system or the patent that are granted....then again do not ussually understand the cdn. legal system.

anyways all of the patent have been thrown out by the patent office. have no idea why this has taken the months it has but was going to take years until the patent office was urged to move faster on the cases.

NTP is not a real company. there are companies that try to get patents that cover a wide range of applications; however they never intend to produce a product. the patent office is trying to stop the practice of giving out wide ranging patents like they did in to NTP.. time will tell...


do not understand how you can still have a court case in which Rimm will still have to pay damages; even though all of the NTP patents have been overturned (by the patent office). Also how can Rimm not be allowed to operate in the US when the patents have all been overturned.....told you I do not understand the US legal system.

NTP is also being greedy as they no longer want a settlement but a piece % of every deal RIMM makes not matter who it involves or where...also if they did get an injuction RIMM would suffer but also there chance at money (royalty off sales).


RIMM should go up as they will probably have to pay less than the market fears; however I do not own it, or will in the future.

not going to put my invesment dollars at risk on what a court in Virginia decides, or other legal fights.

RIMM biggest challenge is all of the competive products coming to the market in the next 3-12 months.

thanks
selkirk

 

[s_dooley24]

I believe the US patent office is in the process of overturning NTP's patent holdings from what I have read. However, the only thing slower then the actual courts seems to be the patent office, so they've not been overturned as of yet

 

[selkirk]

Dooley you are correct that the US patent office is slow. It is scary just how long these matter can take; even in a large case.

however it makes very little diffence to the court case (do not understand the legal system). the patents in question have been thrown out. However they can be appealed by NTP and this process can take years, up to 4 I have heard.

RIMM has to pay damages because they loss the orginal case in 2002 and the appeal. the jury decided on damages of 5.7% of all US sales, however the judge later increased it to 8.55%, even though the patent office is deciding on behalf of RIMM, the case in the courts does not take this into account, only what has happend in the past (loss the trial and appeal)....do not understand the legal system.


anyways if RIMM settles for $1 billion or less it will be seen as a victory for RIMM. should repeat NTP is a company that was granted patents that should have never been granted hopefully will not be in the future. then they bash the company with a business and yes even a product with lawsuits....extortion in another form.....

RIMM should have settled along time ago even if they believe they were correct, would have cost less.

thanks
selkirk