U.S. Appeals Court Overturned a Major $503 Million Patent Infringement Case against Apple by VirnetX
The never ending court battle between Apple and VirnetX began in 2012. Our first report on this was titled "Apple Loses FaceTime Patent Lawsuit to VirnetX." The battle continued and in 2014 the Federal Appeals Court threw out the VirnetX award against Apple while VirnetX was already filing a new case against Apple.
In early 2016 Apple was order to pay $625 million, up from the original 368 million. Then in Aug. 2016 VirnetX's stock plunged when a Judge voided the $625 million dollar verdict. Then in September 2016, USPTO invalidated 4 VirnetX patents and yet the battle continued. We stopped covering this ongoing battle that seemed to have no end.
We're now learning today that a "U.S. appeals court on Friday voided a jury’s calculation that Apple Inc should pay $503 million for infringing patents owned by licensing firm VirnetX Holdings Corp , setting the stage for another potential trial in a decade-old legal battle.
In a partial victory for VirnetX, the U.S. Court of Appeals for the Federal Circuit left in place a Texas jury’s finding that Apple iPhones infringed two VirnetX patents relating to secure communications technology.
The court reversed the jury’s infringement finding on two other patents, however. Based on that ruling, the court sent the case back to a Texas judge for further proceedings.
The Texas judge must consider whether to hold a new damages-only trial or to recalculate damages without holding one, the appeals court said.
VirnetX’s stock price dropped more than 50 percent on the news before recovering slightly in later trading." For more on this story, read the full Reuters report.
As shown below, the stock bounced back a little and is down 32% from the morning low right after the news became public. You could check the stock over the course of the day until close here.