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Philadelphia Business Lawyers: Rival Continuing to Sell Infringing Products

Last year, Texas Advanced Optoelectronic Solutions, Inc. (TAOS), a company that makes light sensors used in iPhones and other products, was awarded $88.7 million after a jury found that its competitor had infringed upon its patent and misappropriated trade secrets. The competitor, Intersil, continues to deny infringement, according to TAOS. TAOS is now seeking a permanent injunction against Intersil.

Back in November of 2008, TAOS first sued Intersil, alleging that it unlawfully used confidential information disclosed during merger or acquisition negotiations. According to allegations in the lawsuit, Intersil wanted to either secure a license from TAOS or acquire the company. When TAOS failed to accept their offer, Intersil attempted to destroy the company in order to take the full market share.

In March of 2015, a jury found that Intersil used TAOS’ patented technology for dual-diode ambient light sensors without consent and misappropriated trade secrets in order to gain a competitive advantage. TAOS was awarded $48.7 million in disgorgement, $12 million in royalties, $8 million in lost profits and $20 million in punitive damages. Only about $73,000 was awarded for patent infringement.

Now, TAOS is seeking to permanently enjoin Intersil from marketing and selling the dual-diode technology. Four products that TAOS holds patents for are the focus of the dispute. TAOS is also seeking to recover attorneys’ fees.

According to one of TAOS’s lawyers, Intersil continues to sell products that the jury determined were infringing upon their client’s patent and is now directly competing with TAOS by selling the stolen technology.

Intersil continues to deny these claims, and argues that the jury verdict should be set aside. Intersil insists that if a judgment is entered, the company should not be required to stop making the product, but rather, should be asked to pay a royalty to TAOS for use of the patented technology. Intersil’s position is that even though the jury found that it willfully misappropriated trade secrets, this behavior is somewhat common.

The judge has requested that the parties continue to mediate the dispute in order to attempt to negotiate a license and royalty agreement. If the parties choose not to participate in the mediation, the judge will issue a ruling.

Philadelphia Trademark Infringement Lawyers at Sidkoff, Pincus & Green Represent Businesses Victimized By Misappropriation of Trade Secrets

If you are the owner of a valid trademark or patent that is being used by another individual or business without your permission, Philadelphia business lawyers at Sidkoff, Pincus & Green can help. With offices conveniently located in Center City Philadelphia, we represent clients throughout Philadelphia and South Jersey. Call us at 215-574-0600 or fill out our online contact form today.