Dish Network 2011 Annual Report Download - page 51

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41
41
Olympic Developments AG, LLC
On January 20, 2011, Olympic Developments AG, LLC (“Olympic”) filed suit against us, Atlantic Broadband,
Inc., Bright House Networks, LLC, Cable One, Inc., Cequel Communications Holdings I, LLC, CSC Holdings,
LLC, GCI Communication Corp., Insight Communications Company, Inc., Knology, Inc., Mediacom
Communications Corporation and RCN Telecom Services, LLC in the United States District Court for the Central
District of California alleging infringement of United States Patent Nos. 5,475,585 and 6,246,400. The patents
relate to on-demand services. Olympic is an entity that seeks to license an acquired patent portfolio without itself
practicing any of the claims recited therein. On June 13, 2011, the case was transferred to the Northern District of
California. On November 4, 2011, the case was stayed pending reexamination by the U.S. Patent and Trademark
Office.
We intend to vigorously defend this case. In the event that a court ultimately determines that we infringe the
asserted patents, we may be subject to substantial damages, which may include treble damages, and/or an
injunction that could require us to materially modify certain features that we currently offer to consumers. We
cannot predict with any degree of certainty the outcome of the suit or determine the extent of any potential liability
or damages.
Personalized Media Communications, Inc.
During 2008, Personalized Media Communications, Inc. (“PMC”) filed suit against us, EchoStar and Motorola
Inc. in the United States District Court for the Eastern District of Texas alleging infringement of United States
Patent Nos. 4,694,490, 5,109,414, 4,965,825, 5,233,654, 5,335,277, and 5,887,243, which relate to satellite signal
processing. PMC is an entity that seeks to license an acquired patent portfolio without itself practicing any of the
claims recited therein. Subsequently, Motorola Inc. settled with PMC leaving EchoStar and us as defendants.
Trial is currently set for August 2012.
We intend to vigorously defend this case. In the event that a court ultimately determines that we infringe any of the
asserted patents, we may be subject to substantial damages, which may include treble damages, and/or an injunction
that could require us to materially modify certain user-friendly features that we currently offer to consumers. We
cannot predict with any degree of certainty the outcome of the suit or determine the extent of any potential liability
or damages.
Preservation Technologies, LLC
In December 2011, Preservation Technologies, LLC filed suit against us in the United States District Court for the
Central District of California, alleging infringement of U.S. Patent Nos. 6,199,060, 6,581,070, 5,813,014,
6,092,080, 5,832,495, 5,832,499, 6,212,527, 6,574,638, 6,549,911, and 6,353,831. The patents relate to digital
libraries, the management of multimedia assets, and the cataloging of multimedia data, which are allegedly
provided by our BLOCKBUSTER On Demand service.
We intend to vigorously defend this case. In the event that a court ultimately determines that we infringe the
asserted patents, we may be subject to substantial damages, which may include treble damages, and/or an
injunction that could require us to materially modify certain features that we currently offer to consumers. We
cannot predict with any degree of certainty the outcome of the suit or determine the extent of any potential liability
or damages.