Federal Judiciary

Judgment and injunction entered in Ariba v. Emptoris

By Michael C. Smith

Also this fall, a Lufkin jury in Judge Ron Clark's court returned a verdict for the plaintiff in Ariba v. Emptoris, 9:07cv0090-RHC.  The jury found infringement, but split on willfulness, finding one claim not, and one yes.  No on invalidity, and no on a question whether the plaintiff unreasonably delayed in filing suit.  Damages were $1.45 million for the first patent, $600,000 in past royalties, and an ongoing royalty of 1.5% of gross sales. Yes on a question that asked if the plaintiff properly marked.  Damages on the second patent were $2.27 million, $600,000 in past royalties and the same 1.5% ongoing royalty, plus yes on marked.
Readers may recall Judge Clark's prior order re: asking juries to provide ongoing royalty rates - but the issue won't be settled with this case.  In the judgment entered January 7 Judge Clark entered a permanent injunction along with an order that the defendants pay $4.982 million in damages, prejudgment interest of $207,000, and enhanced damages of $1.449 million (plus of course court costs and future interest at the current rate of .37%).
Of interest are provisions indicating that Emptoris is implementing a software patch that it appears may act as a "design-around" thus largely mooting both the injunction and the need for an ongoing royalty had the Court not entered an injunction.

Full post as published by Eastern District of Texas Federal Court Practice on January 20, 2009 (boomark / email).