The news just keeps getting worse from RIM these days. Not only are they facing a ton of criticism for delaying BlackBerry 10 and having a poor earnings report, they have now lost a patent suit with Mformation over enterprise server software. The suit was originally filed back in 2008 and yesterday a San Francisco court finally awarded Mformation with $147.2 million from RIM in damages.
The court ruled that RIM would have to pay $8 for every BlackBerry device that was sold in the United States, approximately 18.4 million. RIM was of course upset with the decision that the courts ruled on, and I would think that they will appeal this one before having to start handing over a large chunk of cash. Here is the press release that RIM released after the ruling was made public.
Research In Motion Receives Verdict in Patent Case Brought by Mformation
WATERLOO, ONTARIO–(Marketwire – July 14, 2012) – Research In Motion Limited (RIM) (NASDAQ:RIMM)(TSX:RIM), a world leader in the mobile communications market, yesterday learned that a jury returned a verdict against RIM in the amount of $147.2 million (USD) in an action brought by Mformation in the U.S. District Court for the Northern District of California. RIM is disappointed by the outcome and is evaluating all legal options. Additionally, the trial judge has yet to decide certain legal issues that might impact the verdict. RIM will await those rulings before deciding whether to pursue an appeal.
RIM has worked hard for many years to independently develop its leading-edge BlackBerry technology and industry-leading intellectual property portfolio, and RIM does not believe that the Mformation patent in question is valid.