On December 21, 2007, Silverlit Toys Manufactory Ltd. filed a patent infringement lawsuit against Westminster Inc. and retailer KB Toys over sales of micro helicopters. Silverlit Toys claimed the helicopters infringed on its Air Hogs Havoc Heli designs. The infringement lawsuit was resolved without admission of liability and was dismissed.

Under the terms of the settlement, both Westminster and KB Toys acknowledged the existence and the presumption of validity of the Silverlit patents. Both companies agreed not to challenge the validity of the patents, but KB Toys reserved the right to challenge the validity if the patents were asserted against KB Toys.

Both companies also agreed to stop making, using, selling, offering for sale or importing their allegedly infringing micro helicopter. Details regarding any payments under the agreement were not disclosed.

In early July 2008, WordLogic Corporation initiated a patent infringement lawsuit against Mercedes-Benz USA over the company’s use of a car navigation system. The lawsuit alleges that the company willfully infringed on its patent titled “Data Entry for Personal Computing Devices” (US Patent No. 7,293,231).

WordLogic is seeking back royalties and injunction against Mercedes-Benz’s use of the infringing navigation systems, in addition to triple damages.

WordLogic is a technology company that delivers interface solutions for personal computing devices.

On March 28, 2008, Audiovox Corp. filed a patent infringement lawsuit against Invision Industries Inc., alleging the company infringed on three patents relating to vehicle rear-seat entertainment systems.

Audiovox Corp., a consumer electronics and in-vehicle entertainment company, filed the lawsuit in New York Eastern District Court. Invision Industries also offers in-vehicle entertainment products.

On March 12, 2008, ZapMedia Services Inc. filed a patent infringement lawsuit against Apple, Inc., claiming the computer manufacturer used its media distribution inventions without its permission.

ZapMedia owns two patents entitled “System and method for distributing media assets to user devices via a portal synchronized by said user devices” and “System and method for distributing media assets to user devices and managing user rights of the media assets.” The patents involve the technology surrounding Apple’s iPod, iTunes, and iTunes store structure.

After filing for the first patent in 2000, ZapMedia said it extended its idea to several corporations, including Apple. The company said Apple then announced its similar system without asking for permission from ZapMedia.

The intellectual property lawsuit seeks unspecified damages.

Jibbitz, LLC, a subsidiary of Crocs, Inc., won its intellectual property infringement lawsuit involving copyright and trademark infringement against Jinjiang Huakai Shoes and Garments Co. Ltd, Jinjiang Jiaxing Shoes and Garments Co. Ltd., and Yuanhui Chen and its principals. The United States District Court in Nevada ruled the defendants had a history of infringing on the copyrighted works of Jibbitz, and awarded the company $56 million in addition to attorney fees and other costs.

The court also found that Jibbitz owns all right, title and interest in its creatively developed shoe charm designs, including all copyrights therein.

Angela and David Porter are the inventors of a patented pet grooming tool that assists groomers in removing a pet’s shedded hair while not pulling out unshed hair of the top coat, and assists in preventing the groomer’s hand from tiring during the process. The Porters began a business based on the patented products, Furminator, Inc., and has successfully sold its products, and developed several markets for them. Furminator has asserted patent infringement against Munchkin, Inc. dba Bamboo, and Kim Laube & Co., claiming that the companies with knowledge of the Furminator product copied and sold its patented product.

After a slight stall last week, the U.S. House of Representatives on September 7, 2007 passed the Patent Reform Act, HR 1908, with a vote of 220 to 175. On September 10, 2007, the Bill passed to the U.S. Senate for review where it is expected to undergo further debate and editing and result in a different version.

U.S. Patent Office data reveals that North Carolina ranked 15th out of 20 states named in the nation in the number of patents issued to the State’s residence during fiscal year 2006, ending September 30, 2006.

North Carolina residents were issued 2,172 patents during that period. California residents received the greatest number of patents, numbering 23,579, followed by Texas as the second with 6,345 residents obtaining patents.

The US Patent and Trademark Office has revised the Rules of practice in patent examinations in what it states is an attempt to make examination of patent applications in the Patent Office more effective and efficient. The Rule changes require a patent application to give justification for filing a continuing application for a third or subsequent continuing application. The justification will need to demonstrate why the amendment, argument or evidence could not have been submitted in the previously filed applications.

Patent applications having patentably indistinct claims may be required to be contained in one application unless good reason can be shown for the need for multiple copending applications.

Additionally, the Rules require that if an application contains more than five independent claims, or more than twenty-five total claims, the applicant must submit an examination support document covering all the claims.

The Rules changes shall be effective on November 1, 2007, and can impact applications already filed with the Patent Office.