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US JUDGE ORDERS CISCO TO PAY $1.9B TO VIRGINIA FIRM IN PATENT CASE

A US judge on Monday ordered Cisco Systems Inc. to pay $1.9 billion to a Virginia company that accused it of copying its cybersecurity patents, Jonathan Stempel reported for Reuters.

US. District Judge Henry Morgan in Norfolk, Virginia, concluded after a month-long non-jury trial that Cisco infringed four patents belonging to Centripetal Networks Inc., of Herndon, Virginia. He found no infringement of a fifth patent. 


In a 167-page decision, Morgan said the case was “not a close call,” citing inconsistencies in Cisco’s evidence and that its own technical documents, many of which Centripetal itself introduced at trial, “proved Centripetal’s case.” 


The payout includes an $1.89 billion award, reflecting $755.8 million in actual damages suffered by privately held Centripetal multiplied by 2.5 to reflect Cisco’s “willful and egregious” conduct, plus prejudgment interest. “Cisco did not advance any objectively reasonable defenses at trial” as to the four patents, Morgan wrote. “The infringing functionality was added to their accused products post June 20, 2017, and resulted in a dramatic increase in sales which Cisco touted in both technical and marketing documents,” he added.





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