What happens when a defendant files for bankruptcy protection, yet keeps offending?
In August of last year, BlackBerry filed suit against Avaya Inc. for patent infringement. BlackBerry stated that Avaya was infringing on eight BlackBerry held patents in multiple products. These products include unified communications products and software, networking products, communication servers and client software, as well as telepresence systems, softphones, desk phones, and mobile software. BlackBerry asked for an injunction, as well as damages and lawyer fees.
In January, Avaya filed for Chapter 11 bankruptcy protection, putting a halt to the lawsuit. However, the offending products were still being sold by the company. In February, BlackBerry requested that the court lift the stay on the patent suit. With Avaya continuing to sell these products, damages to BlackBerry would continue to grow. Furthermore, with the limited nature of patents, the longer that their patents were infringed upon, while being protected by the stay, the less time BlackBerry would have to recover it’s investments in the patents.
Yesterday, the court temporarily lifted the stay on the lawsuit, and will allow BlackBerry’s case to continue.
Go get them BlackBerry!