IA Labs Loses Patent Portfolio to Nintendo after Nintendo Wins Patent Lawsuit

Way back in April 2010, IA Labs sued Nintendo for patent infringement. The lawsuit never progressed as in February 2012, Nintendo put on a strong defense and obtained judgment in its favor.

IA Labs attempted to follow up with an appeal. However, in June 2013, the appeals court confirmed Nintendo’s win and was required to pay the company’s additional costs incurred in defending the appeal.

IA Labs did not end up paying the amount as ordered. As a result, a sheriff’s sale was conducted to sell IA Labs’ remaining assets. Nintendo was able to, in the process, acquire IA Labs’ entire patent portfolio at that sale as partial repayment for litigation costs.

You can find Nintendo’s full announcement concerning today’s news below.

Nintendo Acquires Patents of Defunct Patent Troll at Sheriff’s Sale

REDMOND, Wash.–(BUSINESS WIRE)– On Tuesday, Jan. 7, 2014, Nintendo obtained the entire patent portfolio of IA Labs during a sheriff’s sale in Montgomery County, Maryland. IA Labs sued Nintendo for patent infringement in April 2010. Nintendo successfully defended the lawsuit and obtained judgment in its favor in February 2012. The trial court also awarded Nintendo some of the costs and fees it incurred defending the case.

IA Labs appealed the trial court’s ruling. The appeals court confirmed Nintendo’s win in June 2013. IA Labs was further ordered to pay Nintendo additional costs incurred in defending the appeal. IA Labs did not pay the amount due, so a sheriff’s sale was conducted to sell IA Labs’ remaining assets, including its patent portfolio. Nintendo obtained IA Labs’ entire patent portfolio at that sale as partial repayment for litigation costs.

“Nintendo’s track record demonstrates that we vigorously defend patent lawsuits, like the IA Labs lawsuit, when we believe we have not infringed another party’s patent. This includes holding those who sue Nintendo responsible for the costs and expenses incurred in patent litigation,” said Richard Medway, Nintendo of America’s vice president and deputy general counsel. “Nintendo has a long history of developing innovative products while respecting the intellectual property rights of others.”

Source: Nintendo PR