RIM Agrees to Settle Suit
Research In Motion will shell out $450 million to a patent holding company, NTP, to settle a dispute over its BlackBerry wireless technologies.Research In Motion will shell out $450 million to a patent holding company, NTP, to settle a dispute over its BlackBerry wireless technologies. NTP will grant RIM and its customers an unfettered right to continue BlackBerry-related wireless business without further interference from NTP or its patents, according to RIM officials. RIM has been embroiled in a legal battle with NTP since 2001, when NTP claimed it owns patents on wireless technology used in RIMs popular BlackBerry devices and server software. In August 2003, a U.S. court awarded NTP $53.7 million in damages and ordered an injunction that would prevent RIM from making, selling or servicing its devices and server software in the United States.
RIM said the settlement relates primarily to past damages, which include the 2003 judgment and money escrowed to date totaling $137 million. RIM said it will expense a substantial portion of the remaining $313 million in its fourth quarter, ended Feb. 26.