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Toyota Loses Hybrid Patent Infringement Appeal (settlement reached)

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Old 05-12-08, 05:54 PM
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GFerg
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Post Toyota Loses Hybrid Patent Infringement Appeal (settlement reached)

The U.S. Supreme Court let stand a $4.3 million award against Toyota Motor Corp. for using another company's patented technology in gasoline-electric hybrid vehicles, including the top-selling Prius, Bloomberg News reported today.

The justices, without comment, today turned away an appeal by Toyota, leaving intact a jury verdict favoring closely held Paice LLC of McLean, Virginia. A federal appeals court in Washington upheld the award last year.

Toyota also may have to pay Paice royalties for future vehicles it produces using the disputed technology. The appeals court told a trial judge to revisit his order that Toyota pay $25 for every Prius, Highlander and Lexus RX400h sold. The appellate panel refused to block sales of the infringing vehicles.

The disputed technology involves a microprocessor that accepts torque information from both the internal combustion engine and electric motor.

http://www.detnews.com/apps/pbcs.dll...402/1148/rss25
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Old 05-12-08, 06:33 PM
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Not likely, but I wonder if this will affect Ford in any way. It produces the Escape/Mariner Hybrids, under license, with a domestic Ford engine combined with the Toyota-derived electric booster system.

An Escape Hybrid, BTW, by request, is on my review list if/when I can drive an unsold one....they are curently extremely hard to get.
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Old 05-12-08, 08:56 PM
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Paice's web site

http://www.paice.net/News/tabid/56/Default.aspx
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Old 05-12-08, 09:32 PM
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Originally Posted by bitkahuna
The quality of that website screams shell company to me. Are they actually in business?
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Old 05-12-08, 10:00 PM
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Originally Posted by XeroK00L
The quality of that website screams shell company to me. Are they actually in business?
Really doesn't matter if they own the patent. Just need a bunch of lawyers to run a patent house and go sue the appropriate party. $25 per car really won't hurt Toyota's bottom line
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Old 05-13-08, 12:40 PM
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Originally Posted by EZZ
Really doesn't matter if they own the patent. Just need a bunch of lawyers to run a patent house and go sue the appropriate party. $25 per car really won't hurt Toyota's bottom line
Depends how many they sold...

Toyota probably spends that much in a day anyway in R&D.
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Old 05-13-08, 12:49 PM
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Originally Posted by Nextourer
Depends how many they sold...

Toyota probably spends that much in a day anyway in R&D.
Lets say $3k per car as margin. You're looking at less than 1% margin difference. Its a moot point because there will probably be a design around in a couple years. Sounds like the patent house has a very specific patent...the more successful patent firms have a large portfolio of patents to make sure design arounds are impossible.
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Old 05-13-08, 05:12 PM
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Hey look, another shell company wanted a piece of the hybrid pie that Toyota worked hard to bring to fruition. Only this time, they failed. And again, take a look at the quality website they have.

http://www.autobloggreen.com/2008/05...t-case-denied/

Solomon Tech's appeal in Toyota hybrid patent case denied

As we've just recently wrote, Toyota has been ordered to pay the very hefty sum of $4.3 million to Paice LLC for patent infringement related to its Hybrid Synergy Drive. At that time, we mentioned that Solomon Technologies had also sued Toyota regarding its hybrid vehicle technology and was appealing a previous ruling that Toyota did not infringe on one of its patents. There is good news this time for Toyota, as Solomon's appeal was denied by a three-judge panel. Solomon still believes that its patent was indeed infringed upon and claims that they "remain as determined as ever to defend our intellectual property fully and completely," according to Peter W. DeVecchis, President of Solomon Technologies. Solomon had asked that Toyota be forced to stop importing vehicles such as the hot-selling Prius, Camry and Highlander Hybrid models. Solomon has yet to determine whether or not it will continue forward with this particular case, as you can see in the press release pasted after the jump.

Press Release:
http://www.solomontechnologies.com/S...t_Decision.htm

Solomon Announces Patent Case Decision

DANBURY, Conn., May 12 -- Solomon Technologies, Inc. today announced that the Court of Appeals for the Federal Circuit in Washington, DC generally affirmed the previously announced decision in the case of Solomon Technologies versus the Toyota Motor Corporation, and certain of its affiliates. The decision was rendered by a three judge panel of the full court.

Peter W. DeVecchis, President of Solomon commented, "Although we are disappointed in the Court's conclusion we will review it in detail. We have made no determination as to further steps we might take in this case. We remain as determined as ever to defend our intellectual property fully and completely."

Mr. DeVecchis continued, "While a favorable decision in this matter would have certainly been welcome, our underlying business is solid, our acquisition strategy is working and we expect to continue implementation of our plan during 2008. Although there has been considerable interest in this case over the last two years, it has never been, and is not now, an element of our operating plans or growth strategy. We are continuing to look at new opportunities for our intellectual property, are actively pursuing accretive acquisition targets and generating positive and growing operating results in our Power Electronics division. As we continue to execute on our operating plan, we believe now, more than ever, that the alternative and renewable energy segments offer substantial opportunities for our existing products and new products that we have in the pipeline."

As previously announced, Solomon brought suit against Toyota Motor Corporation, Toyota Motor Sales U.S.A. Inc. and Toyota Motor Manufacturing North America in the United States District Court for the Middle District of Florida, Tampa Division, on September 12, 2005, claiming infringement of Solomon's U.S. Patent Number 5,067,932, primarily relating to Toyota's use of the Hybrid Synergy Drive technology in its Prius and Highlander Hybrid vehicles. On January 11, 2006, Solomon filed an additional complaint against Toyota with the ITC seeking to exclude importation of the infringing technology. The action against Toyota and its affiliates in the United States District Court for the Middle District of Florida, Tampa Division, has been stayed pending resolution of the ITC action.

Information about Solomon Technologies, Inc.: Solomon Technologies, Inc., through its Motive Power and Power Electronics divisions, develops, licenses, manufactures and sells precision electric power drive systems, including those utilizing its patented Electric Wheel® , Electric Transaxle(TM) and hybrid and regenerative technologies as well as direct current power supplies and power supply systems requiring high levels of reliability and ruggedness for defense, aerospace, marine, commercial, automotive, hybrid electric and all electric vehicle applications.
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Old 05-13-08, 08:39 PM
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Before thinking Paice is a 'shell' company, you might want to look at the management team. The CEO ran Bosch for example, hardly just a bunch of lawyers.
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Old 05-28-10, 06:07 AM
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May 27 (Bloomberg) -- Toyota Motor Corp. lost its bid to dismiss a Florida company’s patent-infringement claim that may result in a ban on imports of the carmaker’s newest hybrid models including the Prius and Camry.

Theodore Essex, a judge with the U.S. International Trade Commission in Washington, denied Toyota’s request to end the case brought by Paice LLC. He also said Toyota can’t argue that the Paice patent is invalid because that issue was resolved in court. The judge’s May 21 findings are subject to review by the six-member commission.

The dispute is scheduled for a hearing starting July 19 and the two sides have been wrangling over what issues will be considered. The arguments concern the effect of a trial Bonita Springs, Florida-based Paice won against Toyota in a case over the patent that was upheld on appeal. The case involved earlier versions of the Prius and Highlander gas-electric hybrids.

“We are encouraged by the judge’s rulings and look forward to completing our case at the upcoming trial,” said a Paice lawyer, Ruffin Cordell of Fish & Richardson in Washington.

A federal judge in the earlier case rejected Paice’s request to halt sales of the cars and instead ordered royalty payments on the Prius, as well as the hybrid-engine Highlander and Lexus RX400h sport-utility vehicles. Paice filed a new complaint, at both the court and the ITC, over the Camry hybrid, third-generation Prius, Lexus HS250h sedan and Lexus RX450h SUV.

“Toyota is disappointed, but our overall position in the case remains unchanged,” Celeste Migliore, a spokeswoman for Toyota, the world’s biggest automaker, said in an e-mail.

Torque Patent

In a separate case, the Toyota City, Japan-based company is challenging the royalty rate it was ordered to pay by the federal judge in Texas.

Paice, which is an acronym for Power-Assisted Internal Combustion Engines, said Toyota is infringing a patent for a way to supply torque, or force, to a car’s wheels from both an electric motor and an internal combustion engine.

It also has a patent-infringement claim against Ford Motor Co. over Fusion and Escape hybrid vehicles. Ford is challenging the patent.

The ITC case is In the Matter of Hybrid Electric Vehicles, 337-688, U.S. International Trade Commission (Washington). The civil cases are Paice LLC v. Toyota Motor Corp., 04-cv-211; 07cv180 and 08-cv-261, U.S. District Court, Eastern District of Texas (Marshall).

To contact the reporter on this story:
Susan Decker in Washington at sdecker1@bloomberg.net;
Alan Ohnsman in Los Angeles at aohnsman@bloomberg.net.

Last edited by GS69; 05-28-10 at 06:11 AM.
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Old 05-28-10, 06:11 AM
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I suppose the GS 450h and LS 600h L didn't use their system as those vehicles are not mentioned?

Not a good time for Toyota to be in court for any reason, their image has taken a beating.
 
Old 05-28-10, 06:35 AM
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Time for Mr Toyoda to seek assistance from this chick

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Old 05-28-10, 07:31 AM
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^^^^^ :d :d
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Old 05-29-10, 06:40 PM
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Originally Posted by 1SICKLEX

Not a good time for Toyota to be in court for any reason, their image has taken a beating.
That should not affect a good judge or jury in any way......it is their job to judge and handle cases honestly, fairly, and objectively. I once served as the jury foreman on a civil auto-accident case myself.
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Old 05-30-10, 06:08 PM
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Originally Posted by mmarshall
That should not affect a good judge or jury in any way......it is their job to judge and handle cases honestly, fairly, and objectively. I once served as the jury foreman on a civil auto-accident case myself.
It "shouldn't" but it will.
 


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