jiro@shaman.uucp (02/05/91)
Here is the text to their news release from their BBS (1-800-US-HAYES).
I personally think the patent doesn't have much to hold it up, mewonders
why the other modem manufacturers and the judge aren't contesting it
on the basis of prior-use (such as exemplified by the other netters most
eloquently):
There didn't appear to be a copyright on it and since it is a news
release, I don't think it is too illegal to redistribute it on USENET.
==== Begin <WEWON.TXT> from Hayes.bbs ====
HAYES MICROCOMPUTER PRODUCTS, INC.
P.O. Box 105203
Atlanta, Georgia 30348
404/449-8791 FOR IMMEDIATE RELEASE
Beth Logan / Peggy Ballard H-391
HAYES MODEM PATENT UPHELD BY SAN FRANCISCO JURY
- - - -
JURY FINDS WILLFUL INFRINDGEMENT AGAINST ALL DEFENDANTS
Atlanta, GA, 25 January 1991 -- U.S. modem maker Hayes Microcomputer
Products, Inc. was awarded a multi-million dollar verdict today by a jury
in federal court in San Francisco. The case involved a Patent owned by
Hayes. The award came after a three-week trial by Hayes against three
manufacturers of Hayes-compatible modems, Everex Systems, Inc., Ven-Tel,
Inc., and OmniTel, Inc.
The Jury concluded that the Hayes Patent was valid and had been willfully
infringed by each one of the other modem makers. Federal Judge Samuel A.
Conti approved the damages awarded by the Jury, and scheduled a later
Hearing date to determine prejudgment interests to be added to the award
for infringing sales going back to 1985, to determine an appropriate
injunction prohibiting Everex, Ven-Tel and OmniTel from continuing to
manufacture or sell modems that infringe the Hayes Patent, and to
determine the appropriate penalty to be added to the award for willful
infringement. Because of the defendants' willful infringement, Judge
Conti may treble the Jury's verdict as a part of the final judgment and
award Hayes its attorneys' fees and expenses of litigation.
The Patent involved in the lawsuit, known as the Heatherington '302
Patent, was issued to Hayes on 22 October 1985 and covers the escape
mechanism implemented in every Hayes Smartmodem product.
A year after the Patent issued, Hayes was sued in San Francisco by a
consortium of manufacturers of Hayes-compatible modems who challenged the
Hayes Patent. The consortium named themselves the Modem Patent Defense
Group. Although most of the members of the consortium eventually took
licenses under the Patent, Ven-Tel, Everex and OmniTel refused to respect
the Patent and forced Hayes to undergo a jury trial.
One of the members of the consortium was Multi-Tech Systems, Inc. of
Minneapolis, Minnesota. Multi-Tech, not a party to the San Francisco
case, filed a similar action against Hayes in Minneapolis in late 1988.
Hayes expects to go to trial in Minneapolis later this year and will seek
the same result against Multi-Tech as Hayes obtained in San Francisco. In
addition, because validity of the Heatherington '302 Patent has now been
upheld, Hayes will seek treble damages and attorneys' fees for willful
infringement.
Hayes has licensed the Heatherington '302 Patent to 17 manufacturers of
modem products, including two companies who took licenses on the eve of
the San Francisco trial. Hayes will continue to license the Patent to
responsible modem makers as a part of Hayes regular Patent Licensing
Program. Hayes holds over 40 U.S. patents and a number of corresponding
foreign patents. In addition, Hayes has other patent applications
presently pending before the U.S. Patent Office and foreign patent
offices. Companies may obtain further information about licensing the
Heatherington '302 Patent, as well as other Hayes patents, by contacting
Hayes Business Development at Hayes World Headquarters (P.O. Box 105203,
Atlanta, GA 30348).
"This is a win for the entire industry because it confirms the value of
and respect for patents in the United States," said Dennis Hayes, founder
and President of Hayes Microcomputer Products, Inc., after the Jury
returned its verdict. "High technology companies can have confidence that
the expensive research and development required to implement the new
technologies that customers need is protected. Clone manufacturers now
know that they must respect the intellectual property of innovative
companies."
Best known as the leader in microcomputer modems, Hayes develops,
supplies and supports computer communications equipment and software for
personal computer and computer communications networks. The company
distributes its products through an international network of authorized
distributors, dealers, and original equipment manufacturers.
###
===== End text ======
Sigh. Litigation.
- jiro
--
Jiro Nakamura uunet!shaman!jiro
Shaman Consulting (607) 253-0687 VOICE
"Bring your dead, dying shamans here!" (607) 253-7809 FAX/Modemkurt@pnet51.orb.mn.org (Kurt Sletterdahl) (02/06/91)
Hmmmmm. I wonder how much Hayes was asking for licensing the Heathington 302
patent. Perhaps the defendants are now paying the price for previously being
"cheapskates". <grin>
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