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- Path: sparky!uunet!hayes!tnixon
- From: tnixon@hayes.com
- Newsgroups: comp.dcom.modems
- Subject: Hayes Press Release: Appals Court Upholds Escape Sequence Patent
- Message-ID: <6598.2b3afc35@hayes.com>
- Date: 25 Dec 92 12:19:01 EDT
- Organization: Hayes Microcomputer Products, Norcross, GA
- Lines: 86
-
- Notice: The following Hayes press release is provided for news and
- information purposes only and is not intended to be construed as a
- commercial advertisement or solicitation. [This one isn't, in fact,
- a product announcement, but a news item that I thought many of you
- might be interested in.]
-
-
- APPEAL COURT UPHOLDS HAYES PATENT
-
- ATLANTA, GA, 23 December 1992 -- U. S. modem manufacturer Hayes
- Microcomputer Products, Inc. today announced that the U. S. Court of
- Appeals for the Federal Circuit in Washington, D. C., affirmed in all
- respects the judgment of Federal Judge Samuel A. Conti after a Jury
- verdict in favor of Hayes.
-
- In the January 1991 San Francisco trial, the Jury found that the
- Hayes Improved Escape Sequence with Guard Time Patent (Hayes '302) was
- valid, enforceable, and willfully infringed by the defendants, Everex
- Systems, Inc., Ven-Tel, Inc. and OmniTel, Inc. Because the Jury had found
- that the infringement by the defendants was willful, Judge Conti later
- granted additional damages and attorneys' fees to Hayes. The defendants
- appealed this decision on a number of grounds. Everex and OmniTel later
- settled with Hayes and took a license under the Hayes '302 Patent, leaving
- Ven-Tel to continue the appeal which has now been denied.
-
- In an exhaustive 42-page analysis, the Court of Appeals affirmed
- the judgment in all respects, finding that the patent adequately disclosed
- the invention and that all of the attacks by the infringers were
- ineffective. The Court of Appeals also held that Hayes properly disclosed
- in the Patent the best mode for implementing the invention . Ven-Tel and
- the other infringers had made the claim during the trial that the
- invention would have been obvious at the time the invention was made and
- that the Patent was therefore invalid under the U.S. patent laws. The
- Court of Appeals reviewed all of the evidence and found no support for
- that argument.
-
- The Court of Appeals also ruled that Hayes properly proved
- willful infringement of the Patent. The Court approved the Jury's finding
- that required the infringing defendants to pay a royalty of 1.75% of their
- modem sales. The Appellate Court affirmed the ruling of the Trial Judge
- that the infringing party, Ven-Tel, Inc., was required to pay twice the
- amount of damages awarded by the Jury as a penalty.
-
- Finally, the Appellate Court "deplore[d] the unfounded
- accusations of inequitable conduct" made by the infringers at the patent
- trial against Hayes. The Appellate Court therefore cleared Hayes of any
- claim of fraud or inequitable conduct in obtaining the Patent.
-
- This ruling comes on the eve of another patent infringement
- trial, this time involving Multi-Tech Systems, Inc. A trial date has
- been set for 4 January 1993 in United States District Court, Minneapolis,
- Minnesota. The 4 January trial date in Minneapolis is coincidentally the
- same date Hayes began its trial in California two years ago. It is also
- noteworthy that Multi-Tech, like Ven-Tel, filed suit against Hayes
- challenging the Patent despite having been given an opportunity to license
- the Hayes '302 Patent.
-
- "Judge Conti, a Jury, and now the Federal Circuit Court of
- Appeals have all conducted an extensive review of the claims and issues
- regarding this Patent, and confirmed its validity, enforceability and
- willful infringement," said Hayes President Dennis C. Hayes. "We expect
- the same favorable decision in the upcoming jury trial against Multi-Tech
- in Minneapolis."
-
- The Hayes escape sequence technology, first introduced in Hayes
- Smartmodem products in 1981 and issued as U. S. Patent Number 4,549,302 on
- 25 October 1985, is now a data communications feature for modems, ISDN,
- and other data communications applications, with over 26 million units
- shipped to date worldwide. The Hayes '302 patent, which has become the
- industry standard escape sequence due to its proven reliability after 11
- years of use, has been licensed by 25 manufacturers.
-
- Best known as the leader in microcomputer modems, Hayes develops,
- supplies and supports computer communications equipment and software for
- personal computer and computer communications networks. The company
- distributes its products in over 60 countries through a global network of
- authorized distributors, dealers, mass merchants, VARs, systems
- integrators and original equipment manufacturers.
-
- ###
- --
- Toby Nixon, Principal Engineer | Voice +1-404-840-9200 Telex 401243420
- Hayes Microcomputer Products, Inc. | Fax +1-404-447-0178 CIS 70271,404
- P.O. Box 105203 | BBS +1-404-446-6336 AT&T !tnixon
- Atlanta, Georgia 30348 | UUCP uunet!hayes!tnixon Fido 1:114/15
- USA | Internet tnixon@hayes.com
-