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Back on Aug. 20, 2015, the implications of an award from the jury in the case of Carnegie Mellon University (CMU) and Marvell Technologies ("Jury's $1.51B award went afoul of U.S. patent law") was discussed on this blog. At that time, the tech industry was considering banding together to fight the award, saying that it was in violation of existing patent law. It might interest Texas readers to know that CMU and Marvell recently came to an agreement to settle the case for approximately $750 million.

The settlement comes after the decision from the U.S. Appeals Court for the Federal Circuit, which set aside the jury's award and reversed the judge's determination that the infringement by Marvell of two of CMU's patents was willful. However, the court did uphold the verdict, along with the royalty. Instead of applying the $0.50 royalty to 2.2 billion chips, however, the appellate court limited it to 556.8 million chips that were brought into the United States. 

The appellate court urged the parties to come to some sort of settlement on their own. Otherwise, it ordered that a new trial be held to determine whether Marvell should pay royalties for the sale of all 2.2 billion chips. The parties opted to settle the case instead of returning to court. Therefore, after seven years of litigation, there is finally an end for everyone. CMU will not receive any further monies from Marvell.

Reportedly, the settlement will be divided among the two inventors, CMU and legal counsel. This case illustrates that it might take some time, but patent law claims can be resolved to the satisfaction of all of the parties involved. Texas patent holders should not hesitate to protect their work and fight for their rights.

Source: post-gazette.com, "Financial windfall for CMU after settling patent infringement suit", Torsten Ove and Bill Schackner, Feb. 18, 2016

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