November 28, 2011

Court Sets Deadline for Verizon To Stop Use of ActiveVideo Patents

In the continuing legal saga starring Verizon and ActiveVideo Networks, a judge has issued an injunction against Verizon, ordering the company to “cease and desist” from the "continued, unlawful use of intellectual property belonging to ActiveVideo." The injunction is effective through May 23, 2012.  In the interim, Verizon must make monthly sunset royalty payments of $2.74 per subscriber per month starting Dec. 1, 2011.

The injunction follows the award by jury in August of $115 million. That award was increased by the court. To date ActiveVideo has been awarded a total of $139.1 million in damages, supplemental damages and interest. (For more, see ActiveVideo Files For Injunction Against Verizon and ActiveVideo Wins More Damages In Patent Suit Against Verizon.

Verizon is appealing.

"In order for Verizon to avoid infringing our pioneering technology it will have to significantly redesign FiOS TV and likely remove much of the functionality that consumers demand," said Jeff Miller, president and CEO of ActiveVideo, in a statement. "Verizon's continued refusal to accept the numerous court rulings and the jury's verdict is not in the best interests of its customers or shareholders, and ActiveVideo is confident the appellate courts will agree."