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Newegg just bitch slapped some patent trolls!

newtekie1

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#1
http://arstechnica.com/tech-policy/...shopping-cart-patent-and-saved-online-retail/

Soverain Software is a sham company that lives solely on the revenue generated by suing other companies for patents that they claim they own on all "shopping cart" technology used on all online retail websites. They sued pretty much all the big names including Amazon, Best Buy, Nordstrom's, Macy's, Home Depot, RadioShack, Kohl's and the list goes one. Just in the case of Amazon Soverain received over $40 Million. They have sued nearly 50 companies.

Most companies settled with Soverain, but Newegg isn't most companies. Newegg has a company policy to not settle with any patent trolls. Ever. So in 2010 Soverain's lawsuit against Newegg went to trial. The trial lasted less than a week and Soverain seemed to win, with the Jury ordering Newegg to pay Soverain $2.5 Million, a fraction of what they asked for, as well as a 1% royalty on all revenue Newegg processed through their website.

But Newegg didn't give up, they appealed the ruling, and on Jan. 23 2013 the court ruled that not only was Newegg not infringing on Soverain's patents, but that Soverain's patents were invalid. This effectively puts an end to Soverain's ability to patent troll online retailers. And at the same time invalidates many other settlements Soverain has made with other retailers.

So everyone go out and buy a piece of hardware from newegg, because they rock! I wish more large companies would take their stance of never giving in to patent trolls.
 
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#2
I just patent the term "patent trolls". You owe me five bucks newtekie1.
 
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#3
Soverain sounds like some shady company in the middle east or some crap like that.

Their website looks like one of those placeholder squatter for a domain sites too.

Good job NewEgg! 5 eggs fo sho!
 

hat

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#4
Watch out, the Post Office may sue you for using the patented name "mailman".
 

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#5
So will this give places like Amazon the option to sue them ?, i surly hope so. then some one might have to sell some patents haha.
 

newtekie1

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#6
So will this give places like Amazon the option to sue them ?, i surly hope so. then some one might have to sell some patents haha.
I don't believe they can go back and sue Soverain to get money back that they've already paid to them, but I could be wrong about that. However, anyone that had royalties included in their settlement can now stop paying those, and anyone currently paying on a settlement amount can stop paying as well. Also, any companies that are currently being sued by Soverain can now easily have their cases dismissed.
 
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#7
Umm, I invented the "shopping cart" technology back in 1983. We sold that tech to Soverain Software in 1986 for approx $175,000. At the time we thought that was good money :eek:
:rolleyes:
 
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#8
Who has the patents on patenting?
 
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#9
Me.®

Patent pending
 
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#10
lol this story was even more interesting and amusing to me as my Dad was indirectly involved with this Divine Interventures back when and probably at least knows that woman's name. Unlike this company, it was not a sham but sure never panned out to anything (and not fully due to dot-com bust bad timing either).

Best quote: We took a look at this and said "this is bullshit".
 

newtekie1

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#11
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#12
Great Article. I love NE

There are a bunch of pending cases that will get thrown out now
 
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#13
What about the companies that already settled, are they just suckers that can't get that money back? Surely Amazon and others should take Soverain to court and use this ruling as an argument. Time to take Soverain for all they're worth, then leave them at the side of the road like the thieving hitch hikers they are.
 
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#14
Stupid people and their stupid patents... Cavemen should have patented everything, from breathing to dying!