Unfavourable decision for Metso in US patent lawsuit
Metso patent held invalid after earlier favourable decision is reversed by US Court of Appeals
THE US Court of Appeals for the Federal Circuit has overturned a previously favourable decision given to Metso, holding the company’s patent invalid with respect to the lawsuit carried out against Powerscreen International Distribution Ltd (today known as Terex GB Ltd), Terex Corporation, Emerald Equipment Systems Inc., and others.
The case involves the protection of patent rights relating to Metso’s lateral folding conveyor for mobile crushing and screening plants.
In the latest ruling, the Court of Appeals has reversed the earlier favourable decisions given to Metso by the US District Court for the Eastern District of New York in December 2010 and December 2011.
In December 2010, a jury at reached a verdict in favour of Metso, finding that the company’s patent was valid and that the defendants had been infringing it since March 2000.
Moreover, the jury found that the infringements were wilful, thereby potentially allowing Metso to claim multiple damages in the region of US$16 million.
In July 2011, the US District Court issued an injunction permanently barring the defendants from marketing mobile screening machines that were found to be breaching Metso’s patents.
In December 2011, the court affirmed its 2010 verdict and doubled the original damages award to US$31.6 million covering the infringing sales up to October 2007. The defendants were also ordered to pay additional compensation covering infringing sales after October 2007.
In response to this ruling, Terex Corporation claimed the judgment was contrary to both the law and the facts, and lodged an appeal against both the judgment and the related injunction, which has resulted the recent decision by the US Court of Appeals to overturn the earlier verdicts.
Metso say they will now be seeking reversal of the US Court of Appeals’ decision by motions and, if necessary, by further appeal.
The final outcome of the lawsuit is not expected until 2014.
