Blackberry 2012 Annual Report Download - page 47

On September 8, 2010, Eatoni Ergonomics, Inc. (“Eatoni”) filed a motion to vacate a June 8, 2010 arbitration award and a March
2007 arbitration award in the U.S. District Court for the Southern District of New York in a lawsuit filed on November 19, 2008
against the Company alleging that: the Company breached the March 2007 arbitration award; the license to the Company for Eatoni’s
U.S. Patent 6,885,317 (the “‘317 Patent”) is invalid; the Company infringed the ‘317 Patent; and the Company monopolized the
reduced QWERTY market with its Sure Type line of devices. The original lawsuit to which this matter relates was filed on April 28,
2005 and settled on September 26, 2005 through mediation. A subsequent arbitration proceeding was held in February 2007 with an
arbitration award issued in March 2007. An arbitration related to the current Court action was held in December 2009 with an
arbitration award issued on June 8, 2010. On December 5, 2011, the judge dismissed the amended complaint against the Company
with prejudice. On December 22, 2011, Eatoni filed a Notice of Appeal. On February 15, 2012, Eatoni filed its Appeal Brief.
On October 20, 2010, TQP Development LLC (“TQP”) filed a lawsuit against the Company and 10 other defendants in the U.S.
District Court for the Eastern District of Texas (Marshall Division). The complaint alleges infringement of U.S. Patent No. 5,412,730.
The patent generally relates to encryption technology. The complaint seeks an injunction and money damages. The Company and
TQP settled all outstanding litigation on November 2, 2011 for an amount immaterial to the Consolidated Financial Statements.
On October 28, 2010, Alfred Levine (“Levine”) amended his complaint to add the Company to a suit filed in the U.S. District Court
for the Eastern District of Texas (Marshall Division). Fourteen other defendants are named in the suit. The complaint alleged
infringement of U.S. Patents Nos. 6,243,030 and 6,140,943. The patents are generally directed to wireless navigation systems. The
complaint sought an injunction and monetary damages. The Company and Levine settled on June 13, 2011 for an amount immaterial
to the Consolidated Financial Statements.
On January 5, 2011, Advanced Display Technologies of Texas, LLC filed a lawsuit against the Company as well as over eight other
defendants in the U.S. District Court for the Eastern District of Texas (Tyler Division), asserting infringement of U.S. Patent Nos.
5,739,931 and 6,261,664. These patents are generally directed to display technologies. The complaint seeks an injunction and
monetary damages. The claim construction hearing is scheduled for March 31, 2012, and trial is scheduled to begin on July 1, 2013.
Proceedings are ongoing.
On February 23, 2011, Summit 6 LLC filed a lawsuit against the Company as well as five other defendants in the U.S. District Court
for the Northern District of Texas (Dallas Division) asserting infringement of U.S. Patent Nos. 7,765,482 and 6,895,557. These
patents are generally directed to web-based media submission tools. The complaint seeks an injunction and monetary damages. Trial
is scheduled to begin on November 5, 2012. Proceedings are ongoing.
On February 24, 2011, Golden Bridge Technology, Inc. filed a lawsuit against the Company as well as over 20 other defendants in the
U.S. District Court for the District of Delaware, asserting infringement of U.S. Patent Nos. 6,574,267 and 7,359,427. These patents
are generally directed to 3G wireless technologies. On August 16, 2011, the Court stayed the case to allow for mediation. The
complaint seeks an injunction and monetary damages. Proceedings are ongoing.
On March 6, 2011, Mr. Marco Luzzatto filed a lawsuit against two of the Company’s carriers in Israel, Pelephone Communications
Limited and Partner Communications Company Limited. Luzzatto accused various BlackBerry handsets of infringing Israeli Patent
No. 121 225 that is generally directed to use of customized ringtones. Pursuant to Master Supply Agreement indemnification
provisions, the Company agreed to indemnify the carriers. The Company and Luzzatto settled on August 29, 2011 for an amount
immaterial to the Consolidated Financial Statements.
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