Forgent Patent Troll Loses Again
anagama writes "Forgent Networks, a patent troll, got the slap down by a TX jury in May when it invalidated a patent Forgent held regarding video teleconferencing over telephone lines, and today, its motion for a new trial against EchoStar was denied. In fact, the court awarded EchoStar $90k in costs. Forgent probably isn't crying that much though, it already extorted $28m from other defendants. Some of you may recall that Forgent made a business out of cheating companies for jpeg use — till their patent was largely invalidated on that front as well."
Judge Ito - "Order! Order! No more disturbances from the Forgent attorneys. I will hear this evidence."
Hanna-Barbera - "Your honor, I present exhibit A. Now, if you watch closely on your television screen, you will see George calling in sick to Mr. Sprocket."
I hope, when they die, cartoon characters have to answer for their sins.
However there is obviously some need for reform. If I were starting a business today I would be sure to base it in somewhere like China and register my patents in the US in order to minimise my likely exposure while maximising my potential gain. So what could be done?
Almost the scariest aspect of the patent system is not the actual law but the consequences of the threat of the law. If you are perceived to be infringing your case could be hugely expensive and very protracted - and justice delayed is justice denied. Being right isn't going to be much help if I go bankrupt before I win! Unless you are a huge company you are essentially screwed by a lawsuit. With the intent of keeping the system essentially fair it would seem to be wise to:
By lowering the cost of patent litigation the risk would be reduced - and we wouldn't have to wait so long or force so many people to pay protection money in the course of business.
Think of the Children; Sleep with your Sister
[Narrator, Whispering]:
We've secretly replaced their expensive patents with useless Forgent crystals. Let's see if they notice.
[Judge, Cringing]
Ack! I don't like the taste of this one bit - your claim is denied!
[Narrator, Whispering]
Well, there you have it - the legal system can still reject some kinds of landgrabs, when they're wrapped in the form of a patent. We now return you to your regularly scheduled eminent domain rulings.
Ryan Fenton
Unless it's two different patent trolls, I've seen this company's name spelled both ways. Which is right?
Look at the tomato! Isn't it sad? He can't dance! Poor tomato!
Anyone knows what happened after 2006 with the money paid to Forgent Networks for the JPEG patent? Did Forgent Networks have to give the money back? Did anyone sue them?
Forgent probably isn't crying that much though, it already extorted $28m from other defendants.
So with this patent invalidated couldn't the other defendants recover their $28m?
I am very much against the kind of actions Forgent has been using, but seriously the summary for this story is one of the more biased and imflamatory I have ever seen.
As long as the motto is "NEWS for nerds" can we please have the summaries written up like actual news stories?
It's good to see a patent troll lose. But nice though such victories are, it clouds the issue. It raises people's hope that the patent and court systems really can work, and all that is needed is a bit more reform. Cue the various bandaid sorts of suggestions, such as shortening patent lengths, being more careful about granting patents, and whatever. Possibly the best of those solutions is eliminating the patenting of software.
I remained convinced that the entire idea of "Intellectual Property" is broken, contradictory, and senseless. Yes, we want to encourage arts and sciences. Yes, money is an excellent way to encourage and reward, if the corruption can be minimized. Yes, the marketplace is great at assessing value. But no, treating ideas as property overlooks a fundamental fact of nature, which is that copying is easy. Unlike all other forms of property, ideas do not depend upon the physical. Information can be copied endlessly, at virtually no cost. We need other approaches than this crummy hack on traditional property law.
Those who perceive that they have the most to lose (whether or not their perception is correct), are trying to stuff the Internet genie into the property law bottle. It's rather like what Japanese Shoguns did about gunpowder. They outlawed it. Didn't want any uppity peasants being able to compete with the nobility, and guns were a huge equalizer. A few weeks training with a gun and an average peasant could be a good enough shot to have some chance of winning a gunfight. The sword was much harder, and only those who didn't have to spend all their time farming had the time for proper training, thus preserving the nobility's monopoly on power. As long as Japan stayed isolated, the system could be maintained, and was maintained, until foreigners with sufficient firepower came calling. And, the amount of firepower that was sufficient was ludicrously small. The US is well down the path towards a similar rude awakening if we don't change tack. Already the Chinese are advancing from pure cloning to enhancements. So easy to do when one of the "enhancements" is the simple act of not cloning the DRM part! But that's not all they're doing. Some of their knockoffs are actually better quality than the originals. For those who think that's just China, a quick look at 19th century US will find a lot of parallels. In those days, the US shamelessly copied and improved upon British ideas. British complaints about intellectual property theft were largely ignored, and British, in spite of their financial might and their globe spanning empire, were powerless to do much about it. Today, what could the US do if China decided to confront us? We're addicted to cheap Chinese imports. The Chinese have an uncomfortable degree of control over the US dollar's value. So it was with the British-- though they could not seriously contemplate invasion and conquest, they could've really clamped down in other ways except they were too dependent upon cheap American commodities.
Intellectual Property is a monopolistic, selfish, and defective concept. It is "tyranny over the mind of man"
How about this for reform? If you file 3 consecutive BS claims, you can no longer file claims for 10 years.
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...or you're the troll. I'll give you the benefit of the doubt for now. You make the mistake of assuming that patents are filed by genuine inventors and that the patent office actually give a crap about what they pass.
The scenario you describe is NOTHING like what we see in real life. Dr. X in your situation is absolutely not a patent troll.
Now, Mr. Y on the other hand, he spends his time (with Mr Z, his IP lawyer) thinking up as many spurious and badly worded patents as possible. He tries to make them vague, but kinda new sounding. Occasionally he likes to throw in something someone else has already done.
Mr Z sends these off to the US patent office who take his money and grant his patents without researching what they mean or what they really cover.
Later, Y and Z take companies to court over products which may or may not infringe on these really badly worded patents. These companies are using things that are either standard, obvious or their own invention. A lot of them pay up to avoid court, especially given how rare it is for costs to be awarded to defendants.
This is exactly what Y and Z want, this is what makes Y and Z trolls. They haven't invented a thing, yet they try to extort money from those that do.
Your Dr. X is not a patent troll. Forgent is a patent troll. So is Acacia. Patent trolls do not have inventors, they have lawyers. They buy up a patents here and there from inventors, and will try to find a company that produces something that is seemingly operating in a business connected to these patents. Then they sue. They will not investigate if the patent covers the business at all, they just start to harass and threaten. It's a very smudgy business, patent trolling, but apparently profitable.
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Essentially, as used in this article, a "patent troll" is a company that does nothing but holds patents, but also goes above and beyond that by registering patents with very little technical background or a very general idea, sits on them for a few years, and then sues the pants off of anyone who uses that idea or technology AFTER said "patent infringer" has invested millions in the infrastructure and has become completely dependent on whatever the patent covers.
"Patent trolls" will also buy patents off of others for a pittance and then sue alleged violators.
The example you used is a legitimate use of the patent laws.
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I'm not going to attempt to explain what has already been explained several times before. You already know the answer, or can figure it out easily enough if you put your mind to it. I don't think you are actually interested in doing that though. In the words of the immortal Shakespeare you "doth protest too much, methinks."
The
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It's pretty clear to me that he can only barely read. Expecting him to have a reasoned discourse with anyone is like expecting George Bush to pronounce nuclear correctly. It's just not going to happen. (Hint, George: There's ONE "u" in nuclear!)
/. tonight, I can't be sure.
I looked at some of his other posts, and pretty he's pretty much just a jackass. Or maybe I just feel like bitching at people on
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And with E we've narrowed it down to the actual patent trolls.
Oh man. If you'd be truly interested in the subject (instead of trolling), it would take two seconds to get definitions, descriptions and examples of patent trolls. Maybe type if 'patent troll' in a google search box and be done with it.
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IMHO, your steps (1) and (2) [non-numbered bullets, above] should be done also in the Patent Office, before the patent is granted. And to register a pantent, the registrant should bear the burden of proving that (1) his patent is novel and (2) his patent is non-trivial.
It's better to be the foot on the boot than the face on the pavement. ~~ tkx Kadin2048
"Let me explain something to you:
There is only thing you can EVER do with a patent: Sue people."
Tell that to IBM, the world's most prolific patent filer. They make a lot of money licensing patents.
Your impression of me is stupid and incorrect. Troll.
Someone is going to collect a license fee for every First Post, Goatse Redirect, In Soviet Russia joke and Natalie Portman/Hot Grits remark? No way!
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Based on his calm, reasoned, mature responses to me, I can't help but to agree with you, Khaed.
The
Yes, because Wikipedia is the be-all, end-all of definitions and information...
Since patent is supposed to support the innovative spirit, cant they have different patent filing fee slabs depending on the wealth of the filer?
Basically, if the patent is filed by an garage inventor, the cost for patenting is much less than if it by a multinational company, which can anyway afford it.
Thus, by hiking the cost of patenting high enough, we would be able to reduce the effect of patent trolls, or the companies patenting every small thing, whereas, for the individual it would be better since the cost for him will actually decrease.
Along with this, the patent examiner will be able to better review the patents because a) there will be lesser no of patents and b) there is much more money going around - so more patent examiners can be recruited.
Shouldnt this help?
rajmohan_h@yahoo.com
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They're really the only company out there that almost NEVER gives in on these things, even if it makes financial sense to do so. If there were just 10 more companies like EchoStar then this whole problem would cease to exist.
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But until you see the patent at issue, how do you know whether it is invalid or not, without even reading it?
I guess what I don't understand is the rush to label anyone who sues as a "patent troll" without understanding the patent or the law..
True, I wasn't defending the OP but defining the statement. However, this company has made a history of doing these practices and while generalizations aren't always true, they do generally have a nugget of truth in there.
Also, regarding the waiting to sue issue - there are equitable doctrines known as "laches" and "estoppel" for these situations. If the court finds that they are engaging in this type of activity, relief can be denied.
Also true, however, this doesn't preclude the company filing for relief being a troll in the first place -- perhaps knowingly filing a fraudulent claim and hoping that the company can either be forced to settle for cheaper than lawyer fees or perhaps win on a technicality. Regardless of whether relief is granted or not, there have been some small-time inventors that have unknowingly tread on an idea that's somewhat similar to a patent held by someone else, and been ruined once the company currently holding the IP comes knockin'.
So the problem with "patent trolls" is that they paid too little for the assignment?
Well, this isn't quite what I meant -- though your point about it being more of a contract issue is valid. I was thinking more along the lines of the small inventor, who can be coerced into selling off the patents to a holding company like this one for far under what they might be worth, and then the company hiding those patents away with no intention of using them or developing product, then waiting to actively ruin products that come out of other inventors, if they think they can squeeze money from them. If they can't, they'll wait until the product becomes big before suing, rather than immediately coming forward and saying that their patent might be violated and working with the inventor or company to come to a mutually-beneficial deal. See RIM's recent patent fiasco over the Blackberry.
My worry is that these IP holding companies that don't have any intention of developing products on the patents that they hold are stifling innovation. It's not that they don't have enough money to start production of some of the patents that they have, it's that they would rather wait like a trapdoor spider for another poor sucker/inventor to come along, and then bleed them for all they are worth, then wait for the next. It's not as though the company will develop their own version of the product after gaining "relief" -- I'm not aware of it happening a single time.
I'd explain that I have a 7-year-old daughter, but I've actually been watching Veggie Tales since college.
Redundancy is good And also good.
"Why is it immoral to claim ownership of an invention you didn't invent yourself, but purchased from the inventor? Are you suggesting that patents should be inalienable, and only the inventor may ever own the patent rights to his invention?"
It's not. You're an idiot troll. Fuck off.
I said that the scenario you paint is not what's happening in the real world.
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Is that all you've got? OMG! U R Fat!
It's clear who's the child in this exchange, both to its participants and observers. And it's not me bub.
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