Lodsys files suit against iOS developers over in-app purchases
Lodsys filed a patent infringement lawsuit on Tuesday against several iOS developers, making good on its threat to pursue legal action over the use of technology related to in-app purchasing.
The suit was filed with the U.S District Court for the Eastern District of Texas, a district known for providing a favorable outcome for patent holders, Florian Mueller reports. Though iOS developers were the main targets of the suit, one Android developer was also listed in the filing.
Early this month, Lodsys sent legal complaints to a number of iOS developers accusing them of patent infringement. The letter gave the developers 21 days to license the company's in-app purchasing technology.
Lodsys' claim centers mainly around U.S. Patent No. 7222078, entitled ""Methods and Systems for Gathering Information from Units of a Commodity Across a Network." Though Apple has licensed the technology, Lodsys asserts that third-party developers aren't covered under that license.
After Apple's legal department actively investigated the infringement claims, the Cupertino, Calif., company sent a formal letter to Lodsys asking it to cease its legal threats against iOS developers. "Apple is undisputedly licensed to these patents and the App Makers are protected by that license," Bruce Sewell, Apple's senior vice president and general counsel, wrote in the letter.
Lodsys noted Tuesday on its official blog that it "chose to move its litigation timing to an earlier date than originally planned, in response to Apple's threat, in order to preserve its legal options." The company has also offered a $1,000 payment to iOS developers if it turns out that Apple's existing license rights apply to app developers. However, Lodsys continues to dispute Apple's claim and has sent a "detailed legal position on the license interpretation issue" to the iPhone maker.
The suit was filed with the U.S District Court for the Eastern District of Texas, a district known for providing a favorable outcome for patent holders, Florian Mueller reports. Though iOS developers were the main targets of the suit, one Android developer was also listed in the filing.
Early this month, Lodsys sent legal complaints to a number of iOS developers accusing them of patent infringement. The letter gave the developers 21 days to license the company's in-app purchasing technology.
Lodsys' claim centers mainly around U.S. Patent No. 7222078, entitled ""Methods and Systems for Gathering Information from Units of a Commodity Across a Network." Though Apple has licensed the technology, Lodsys asserts that third-party developers aren't covered under that license.
After Apple's legal department actively investigated the infringement claims, the Cupertino, Calif., company sent a formal letter to Lodsys asking it to cease its legal threats against iOS developers. "Apple is undisputedly licensed to these patents and the App Makers are protected by that license," Bruce Sewell, Apple's senior vice president and general counsel, wrote in the letter.
Lodsys noted Tuesday on its official blog that it "chose to move its litigation timing to an earlier date than originally planned, in response to Apple's threat, in order to preserve its legal options." The company has also offered a $1,000 payment to iOS developers if it turns out that Apple's existing license rights apply to app developers. However, Lodsys continues to dispute Apple's claim and has sent a "detailed legal position on the license interpretation issue" to the iPhone maker.
Comments
"I never did anything by accident, nor did any of my inventions come by accident; they came by work."
That's interesting, given that Lodsys didn't do any work at all. They are a troll that let iOS developers and Apple do all the work, then jump in trying to scrape profit off the work of others.
The most obnoxious thing about this (and there are several aspects from which to choose) is that Lodsys on its home page has this quote:
"I never did anything by accident, nor did any of my inventions come by accident; they came by work."
That's interesting, given that Lodsys didn't do any work at all. They are a troll that let iOS developers and Apple do all the work, then jump in trying to scrape profit off the work of others.
Not to mention- they didn't even design the patent in question- they bought it.
Given Apple's legal response- there is no doubt they are going to countersue Lodsys.
Did Google ever even respond?
Not to mention- they didn't even design the patent in question- they bought it.
Given Apple's legal response- there is no doubt they are going to countersue Lodsys.
Did Google ever even respond?
Not that I've seen. But it's only been just a few days since the first Android developers got dragged in. At least they should have had a heads-up that it probably was coming.
I see this failing like nobody's business, not because of anything to do with patents, but because they made the agreement that developers had 21 days to comply, then they broke their own (verbal, effectively) contract by filing early. That's got to be illegal on some level.
I don't think the 21 days warning has any importance. What's important on their side now is their ability to prove that the developers are not covered by the licensing agreement.
I don't think the 21 days warning has any importance. What's important on their side now is their ability to prove that the developers are not covered by the licensing agreement.
I'd be very surprised to learn that both Apple and Google signed the licensing agreement with eyes closed. Something very fishy here...
I'd be very surprised to learn that both Apple and Google signed the licensing agreement with eyes closed. Something very fishy here...
Apple, especially since they are requiring their developers to build it in if they sell a product. Developing for Android is looking better, at least in-app purchasing isn't required.
Either way, the results of these lawsuits will either forever change the way licensing agreements work. Hopefully, it's to our advantage.
with a little luck, this can turn out to be a 'mercy killing' (figure of speech) for apple. time to end these texas jokester legal rulings.
Not that I've seen. But it's only been just a few days since the first Android developers got dragged in. At least they should have had a heads-up that it probably was coming.
I have yet to see google handle anything legally with any competency... google TV, cloud, etc. So I would expect android devs to get pwn3d more than they already are.
lodysys better come to the table with some deep pockets.
with a little luck, this can turn out to be a 'mercy killing' (figure of speech) for apple. time to end these texas jokester legal rulings.
Unfortunately, these things are not usually settled that easily.
I see this failing like nobody's business, not because of anything to do with patents, but because they made the agreement that developers had 21 days to comply, then they broke their own (verbal, effectively) contract by filing early. That's got to be illegal on some level.
IANAL, but: While that offer may not have been legally-binding, their breaking of their own pledge will show any court that they're not operating in good faith. As such no judge is going to cut them any breaks as this proceeds.
It won't be just iOS and Android developers either. Think indie XBOX, PS3, Wii developers, RIM developers, etc....
The sky is the limit for these trolls...
I think that this will be the first in a very long, long line of patent trolls going after small developers..
It won't be just iOS and Android developers either. Think indie XBOX, PS3, Wii developers, RIM developers, etc....
The sky is the limit for these trolls...
I'm just beginning to design my own apps and these sentiments are very much on my mind.
Apple and Google alike will need to defend the development community while also insuring that future patent licenses extend a proper umbrella over developers big and small. Without such a safety net, the small-time-developer niche (which I suspect is rather large in Apple's case) will begin to decline dramatically.
People will be afraid to publish their ideas.
I'm already getting worried...
IANAL, but: While that offer may not have been legally-binding, their breaking of their own pledge will show any court that they're not operating in good faith. As such no judge is going to cut them any breaks as this proceeds.
Did you forget this will be an eastern Texas judge, jury, & executioner!! :
Ezekiel 25:17. "The path of the righteous man is beset on all sides by the inequities of the selfish and the tyranny of evil men. Blessed is he who, in the name of charity and good will, shepherds the weak through the valley of the darkness, for he is truly his brother's keeper and the finder of lost children. And I will strike down upon thee with great vengeance and furious anger those who attempt to poison and destroy My brothers. And you will know I am the Lord when I lay My vengeance upon you."
That from Pulp Fiction is what I think of every time I think about what Apple is going to do to Lodsys.
This is ridiculous.
Let's see -- I have a free app and I want to make it easy for people to upgrade to the paid app from within the free app. Whoa ! Headrush -- I just independently reinvented in-app purchases ! I'm a genius !
If memory serves me correctly, you can't patent obvious ideas..
Guess it's time now to see if Apple (and Google) will step in with more than a letter. I certainly expect them to. It did surprise me that Lodsys didn't drop the whole thing tho.
Of course Apple will step it up. The first thing you do before suing anyone is to send the obligatory "cease and desist request". That's what Lodsys and Apple have done, clearing the way for legal action.
Did you forget this will be an eastern Texas judge, jury, & executioner!! :
Aka, patent troll paradise.