Seagate 2010 Annual Report Download - page 119

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Table of Contents
SEAGATE TECHNOLOGY PLC
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
Division. The complaint seeks unspecified damages and an injunction. The Company filed an answer to the complaint on September 8, 2009,
denying all material allegations and asserting affirmative defenses. On October 4, 2010, the case against the Seagate entities was dismissed with
prejudice pursuant to a confidential settlement agreement; accordingly, the Company does not expect this matter will result in a loss.
Alexander Shukh v. Seagate Technology —Former Seagate engineer Alexander Shukh filed a complaint and an amended complaint against
Seagate in Minnesota federal court, alleging, among other things, employment discrimination based on his Belarusian national origin and
wrongful failure to name him as an inventor on several patents and patent applications. Mr. Shukh's employment was terminated as part of a
company-wide reduction in force in fiscal year 2009. He seeks damages in excess of $75 million. The Company believes the claims are without
merit and intends to vigorously defend this case. Trial is scheduled to begin April 1, 2013. In view of the uncertainty regarding the amount of
damages, if any, that could be awarded in this matter, the Company does not believe that it is currently possible to determine a reasonable
estimate of the possible range of loss related to this matter.
Siemens GmbH v. Seagate Technology (Germany) —On March 26, 2010, Siemens commenced proceedings against Seagate
Technology GmbH, the Netherlands branch office of Seagate Technology International, and Seagate Technology LLC in the Dusseldorf District
Court in Germany. The complaint alleges infringement of European Patent Number 0 674 769 (the "EU '769 Patent"), which corresponds to the
patent in suit in the U.S. and Northern Ireland Siemens' litigations. Siemens seeks a declaration that the EU '769 Patent is infringed by GMR and
TMR products, removal of all infringing inventory, damages in an unstated amount, and costs. The Company intends to vigorously oppose this
action. The trial on liability issues has not been held. That trial is scheduled to begin September 20, 2011. If, following that trial, the court finds
liability for patent infringement, a separate trial on damages issues would be held. No such trial has been scheduled at this time. Siemens has not
stated the amount of damages it would seek in such a trial. In view of the uncertainty regarding the amount of damages, if any, that could be
established at the separate trial and in light of Siemens not having stated an amount of damages it may seek in this matter, the Company does not
believe that it is currently possible to determine a reasonable estimate of the possible loss or possible range of losses related to this matter.
Rembrandt Data Storage, LP v. Seagate Technology LLC
On November 10, 2010, Rembrandt Data Storage, LP filed suit against Seagate
Technology LLC in the U.S. District Court for the Western District of Wisconsin alleging infringement of U.S. Patent No. 5,995,342 C1, "Thin
Film Heads Having Solenoid Coils," and U.S. Patent No. 6,195,232, "Low-Noise Toroidal Thin Film Head With Solenoidal Coil." The
complaint seeks unspecified compensatory damages, enhanced damages, injunctive relief, and attorneys' fees and costs. The company intends to
vigorously defend this case. Trial is scheduled to begin June 4, 2012. Rembrandt has not stated the amount of damages it would seek at trial. In
view of the uncertainty regarding the amount of damages, if any, that could be established at trial and in light of Rembrandt not having stated an
amount of damages it may seek in this matter, the Company does not believe that it is currently possible to determine a reasonable estimate of
the possible loss or possible range of loss related to this matter.
Rambus, Inc. ITC Investigation re Certain Semiconductor Chips and Products Containing the Same —On December 1, 2010, Rambus, Inc.
filed a complaint with the International Trade Commission seeking an investigation pursuant to Section 337 of the Tariff Act of 1930, as
amended. The complaint names Seagate Technology LLC and numerous other defendants, including LSI, Inc. and ST Microelectronics, Inc.,
alleging that Seagate products incorporate semiconductor products made by LSI and STMicroelectronics that infringe various patents owned by
Rambus. The ITC initiated an investigation on December 29, 2010.
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