Kodak Says Intellectual Ventures Behind Patent Lawsuit Filed By Shell Company
from the piercing-the-veil dept
Last year, Zusha Elinson broke the story that, despite Nathan Myhrvold hiding behind the claim that Intellectual Ventures hadn't sued anyone over patent infringement, IV's patents were miraculously showing up in lawsuits being filed by shell companies. Of course, IV and the shell companies have been completely silent over how this all works, so IV can pretend to be totally separate. However, multiple reports have come out claiming that IV "sells" these patents to patent attorneys, who set up shell companies with which to sue, and IV gets a cut of any money won. In other words, it's hiding behind these shell companies to pretend it's not suing, when the truth is quite different.It seems that at least one company sued over such a patent is hitting back. Joe Mullin points us to the Legal Pad blog, which notes that Kodak, who has been sued for patent infringement by a shell company (PFI) being represented by Ray Niro (famous for, among other things, being the first person labeled a "patent troll," as well as suing a bunch of companies he didn't like with a bogus patent -- finally rejected for good, recently -- that he claimed covered any website that used a JPEG image), doesn't believe that it's really the shell company that's behind this lawsuit. It's demanding that Intellectual Ventures take part:
"Kodak should be accorded the right to sit down across the table from IV as well as PFI, so that it can inquire as to IV's intentions," Jones Day lawyers write. "It should come as no surprise that Kodak's attitude towards settlement may be affected by learning whether or not this case is the first of a series of patent litigation salvos to be launched against it by IV, whether directly or through a proxy like PFI."IV's response, as per usual, is to play dumb:
"At this point, we haven't made a decision yet. We don't know what Kodak wants or why they want us there. We don't have a say in the litigation nor do we have control over Picture Frame Innovation or the patent."Note that this doesn't actually answer the question of whether or not IV has a financial interest in the lawsuit. Of course it doesn't have actual control over the shell company or the lawsuit. No one thinks IV is so stupid to leave a trail that direct. But that doesn't mean it didn't sell this patent with the plan of profiting from such a lawsuit. The whole thing is so *wink* *wink* *nudge* *nudge* it just shows off IV's total arrogance. It thinks that it's smarter than everyone else and can play the system to its (very profitable) advantage -- even if it's stifling innovation left and right.
Thank you for reading this Techdirt post. With so many things competing for everyone’s attention these days, we really appreciate you giving us your time. We work hard every day to put quality content out there for our community.
Techdirt is one of the few remaining truly independent media outlets. We do not have a giant corporation behind us, and we rely heavily on our community to support us, in an age when advertisers are increasingly uninterested in sponsoring small, independent sites — especially a site like ours that is unwilling to pull punches in its reporting and analysis.
While other websites have resorted to paywalls, registration requirements, and increasingly annoying/intrusive advertising, we have always kept Techdirt open and available to anyone. But in order to continue doing so, we need your support. We offer a variety of ways for our readers to support us, from direct donations to special subscriptions and cool merchandise — and every little bit helps. Thank you.
–The Techdirt Team
Filed Under: patents
Companies: intellectual ventures, kodak
Reader Comments
Subscribe: RSS
View by: Time | Thread
Patent Trolling
[ link to this | view in chronology ]
Re: Patent Trolling
[ link to this | view in chronology ]
IP
Think of all the great things that have come out of software patents. Google, Windows, PhotoShop, Linux etc, etc.. If Linux were not infringing on 150+ patents belonging to Microsoft, there would be no reason for them to spend so much time innovating around them!
Take the infamous Fat32 patent, This patent pretty much covers all plug & play out of the box file formats. This results in locking Linux out of the game without infringing. But guess what? ... Thats great for consumers!! Think of all the choices they will never need to make!
Come on people!
[ link to this | view in chronology ]
Re: IP
Sarcasm at its best.
How could you type that and keep a straight face.
[ link to this | view in chronology ]
Re: IP
Ronald J. Riley,
I am speaking only on my own behalf.
Affiliations:
President - www.PIAUSA.org - RJR at PIAUSA.org
Executive Director - www.InventorEd.org - RJR at InvEd.org
Senior Fellow - www.PatentPolicy.org
President - Alliance for American Innovation
Caretaker of Intellectual Property Creators on behalf of deceased founder Paul Heckel
Washington, DC
Direct (810) 597-0194 / (202) 318-1595 - 9 am to 8 pm EST.
[ link to this | view in chronology ]
Re: Re: IP
[ link to this | view in chronology ]
Re: Re: IP
Ummm ... Heh ... you can't be serious.
[ link to this | view in chronology ]
Re: Re: Re: IP
Ronald J. Riley,
I am speaking only on my own behalf.
Affiliations:
President - www.PIAUSA.org - RJR at PIAUSA.org
Executive Director - www.InventorEd.org - RJR at InvEd.org
Senior Fellow - www.PatentPolicy.org
President - Alliance for American Innovation
Caretaker of Intellectual Property Creators on behalf of deceased founder Paul Heckel
Washington, DC
Direct (810) 597-0194 / (202) 318-1595 - 9 am to 8 pm EST.
[ link to this | view in chronology ]
Re: Re: Re: Re: IP
I think "common ground" means that each side moves from where they were towards a common position somewhere between the two positions ... but your personal interpretation may vary.
[ link to this | view in chronology ]
Re: Re: Re: Re: Re: IP
Ronald J. Riley,
I am speaking only on my own behalf.
Affiliations:
President - www.PIAUSA.org - RJR at PIAUSA.org
Executive Director - www.InventorEd.org - RJR at InvEd.org
Senior Fellow - www.PatentPolicy.org
President - Alliance for American Innovation
Caretaker of Intellectual Property Creators on behalf of deceased founder Paul Heckel
Washington, DC
Direct (810) 597-0194 / (202) 318-1595 - 9 am to 8 pm EST.
[ link to this | view in chronology ]
Re: Re: Re: Re: IP
[ link to this | view in chronology ]
Re: Re: Re: Re: IP
I'm just saying.. (Only on my own behalf, of course)
[ link to this | view in chronology ]
Re: Re: IP
Ronald J. Riley,
I am speaking only on my own behalf.
Affiliations:
President - www.ScamU.org - RJR at ScamU.org
Executive Director - www.IgnoranceEd.org - RJR at IgnEd.org
Senior Fellow - www.PatentTrolls.org
President - Alliance for American Stagnation
Caretaker of Intellectual Property Hoarders on behalf of Zombielands and its Zombies.
Fantasy World, RJR
Direct (810) 555-0194 / (202) 555-1595 - 9 am to 8 pm EST.
[ link to this | view in chronology ]
Re: Re: IP
[ link to this | view in chronology ]
Re: IP
[ link to this | view in chronology ]
Hey, ya wanna buy a bull?
This obvious gaming of the system can no longer be overlooked. This is tantamount to organized crime. Instead of some greaseball with a broken nose busting your kneecap, it is a high priced lawyer in an Armani suit dragging your ass to East Texas.
[ link to this | view in chronology ]
Reply from BigBoys
[ link to this | view in chronology ]
Re: Reply from BigBoys
It has to stop sometime, otherwise they will take us all down with them - and I will not be too happy with that, neither will many others.
[ link to this | view in chronology ]
Re: Re: Reply from BigBoys
[ link to this | view in chronology ]
Re: Re: Re: Reply from BigBoys
Yeah
Never mind that it is destroying everything you worked hard for ... the most important thing is to get revenge !
[ link to this | view in chronology ]
Re: Re: Re: Re: Reply from BigBoys
[ link to this | view in chronology ]
But I must disagree with claims that their enforcing their patent rights is wrong, because they are perfectly justified in defending their patent property rights.
There are good reasons to conduct enforcement actions from a unique entity for each case. They are the same reasons that people create corporations for any business, in that it compartmentalizes liability.
Kodak is also perfectly justified in enforcing their patent rights.
Every reader of TechDIRT derives income from some source. Some are wage slaves and others may be in their own business. In every case you expect some sort of compensation for what you do. Inventors also must have compensation in order to support their business of inventing.
The only difference between the invention business and others is the amount of risk and a much larger payout when one succeeds. In the end, every business regardless of the time frames and risk factors must payoff or it will fail.
Big companies also take risks, like intentionally infringing smaller entities patents hoping that those entities will not be able to afford to hold them accountable. Those who take this risk deserve what they are getting.
Ronald J. Riley,
I am speaking only on my own behalf.
Affiliations:
President - www.PIAUSA.org - RJR at PIAUSA.org
Executive Director - www.InventorEd.org - RJR at InvEd.org
Senior Fellow - www.PatentPolicy.org
President - Alliance for American Innovation
Caretaker of Intellectual Property Creators on behalf of deceased founder Paul Heckel
Washington, DC
Direct (810) 597-0194 / (202) 318-1595 - 9 am to 8 pm EST.
[ link to this | view in chronology ]
Re:
You dismiss the outrageous actions of IV (only) because they treat the "inventors" poorly ... and then you defend their actions because they are "enforcing their patent rights"
You sir, are are full of it.
Seriously ... do you think this sort of business environment is sustainable? If so, please include your rational for thinking so, because I really do not see it.
[ link to this | view in chronology ]
It is sustainable
If you remove patent protection and enforcement all inventions will be pilfered and America will not be able to sustain our standard of living.
Ronald J. Riley,
I am speaking only on my own behalf.
Affiliations:
President - www.PIAUSA.org - RJR at PIAUSA.org
Executive Director - www.InventorEd.org - RJR at InvEd.org
Senior Fellow - www.PatentPolicy.org
President - Alliance for American Innovation
Caretaker of Intellectual Property Creators on behalf of deceased founder Paul Heckel
Washington, DC
Direct (810) 597-0194 / (202) 318-1595 - 9 am to 8 pm EST.
[ link to this | view in chronology ]
Re: It is sustainable
Seriously, do you not see the inevitable end to which this will come?
Short sightedness kicks your ass everytime ... believe me ... I would know.
[ link to this | view in chronology ]
Re: It is sustainable
Actually, no, that isn't the point. Feel free to keep showing your blatant ignorance, though.
[ link to this | view in chronology ]
Re: It is sustainable
Wouldn't America just do the same as everybody else?
"America?!? Never! America would never do anything like that, ever, not America! If patents were demolished tomorrow and it were a free-for-all, why America would just sit there not doing a thing. America certainly wouldn't join in the free-for-all. It's just not in America's nature. They would probably pout."
[ link to this | view in chronology ]
Re: (RJR)
"Conserving the American Patent System is the only way to preserve our technological and economic future!
(This is not alarmist, this is serious and it is true!)"
*** Actually that is 'Patently' untrue, as Mike and others have have pointed out on multiple occasions many economic models thrive without using patents.
From http://www.inventored.org
*** Other than the fact that this site appears to have been designed sometime in the early 1990's (Although the other two were not much better). I did not notice any blatant misinformation I did notice this...
"Page last revised 10-10-2008"
From http://www.patentpolicy.org
"Many experts contend that the United States Patent and Trademark Office is the cornerstone to the U.S. economy."
*** Many experts contend the exact opposite as well, evidence please.
"The USPTO's ability to prosecute and track new invention is one of the most significant dimensions of U.S. competitiveness around the world."
*** Ha ha Ha ha Ha ha Ha ha Ha ha Ha ha
If you choose to be a Troll/Shill Please at least do so with some respect for our intelligence, and quit spamming us with your ridiculous signature.
[/rant]
[ link to this | view in chronology ]
Re: Re: (RJR)
What intelligence?
How about you sign what you write or are you too ashamed to sign your name and if by some remote chance you have any relevant affiliations you disclose them:)
Ronald J. Riley,
I am speaking only on my own behalf.
Affiliations:
President - www.PIAUSA.org - RJR at PIAUSA.org
Executive Director - www.InventorEd.org - RJR at InvEd.org
Senior Fellow - www.PatentPolicy.org
President - Alliance for American Innovation
Caretaker of Intellectual Property Creators on behalf of deceased founder Paul Heckel
Washington, DC
Direct (810) 597-0194 / (202) 318-1595 - 9 am to 8 pm EST.
[ link to this | view in chronology ]
Re: Re: (RJR)
PIAUSA serves as an example of how open source can be a very poor value. It is based on EZ Publish, an atrocious piece of bloated crap. We paid for commercial use and I have to say that it never delivered on the claims. When we are finished with InventorEd we will also be converting PIAUSA to Drupal.
I have nothing against open source except for the fact that much of it is worth exactly what people pay and the entitlement mentality of those in the community who think that they should be able to pilfer others intellectual property to use as a loss leader to generate consulting fees.
Ronald J. Riley,
I am speaking only on my own behalf.
Affiliations:
President - www.PIAUSA.org - RJR at PIAUSA.org
Executive Director - www.InventorEd.org - RJR at InvEd.org
Senior Fellow - www.PatentPolicy.org
President - Alliance for American Innovation
Caretaker of Intellectual Property Creators on behalf of deceased founder Paul Heckel
Washington, DC
Direct (810) 597-0194 / (202) 318-1595 - 9 am to 8 pm EST.
[ link to this | view in chronology ]
Re: Re: Re: (RJR)
[ link to this | view in chronology ]
ProxyTrolls
http://www.digitalmajority.org/forum/t-3976/a-new-race-of-patent-trolls:the-proxytrolls
[ link to this | view in chronology ]
Digital Majority???
Also, the referenced link has pretty poor quality, both the writing and content.
Ronald J. Riley,
I am speaking only on my own behalf.
Affiliations:
President - www.PIAUSA.org - RJR at PIAUSA.org
Executive Director - www.InventorEd.org - RJR at InvEd.org
Senior Fellow - www.PatentPolicy.org
President - Alliance for American Innovation
Caretaker of Intellectual Property Creators on behalf of deceased founder Paul Heckel
Washington, DC
Direct (810) 597-0194 / (202) 318-1595 - 9 am to 8 pm EST.
[ link to this | view in chronology ]
Re: Digital Majority???
The irony here is awesome.
[ link to this | view in chronology ]
There was a whole discussion about that here
http://www.techdirt.com/articles/20100316/1732228591.shtml?threaded=true
and I just responded to someones counterclaims, thought people might be interested. See post Mar 18th, 2010 @ 7:20am
[ link to this | view in chronology ]
Patent Debate
[ link to this | view in chronology ]
Comment
[ link to this | view in chronology ]
coment
[ link to this | view in chronology ]
coment
[ link to this | view in chronology ]
[ link to this | view in chronology ]
toy watch
[ link to this | view in chronology ]
Reply
[ link to this | view in chronology ]
[ link to this | view in chronology ]
[ link to this | view in chronology ]
credit union Fall River
[ link to this | view in chronology ]
newest jordan shoes
[ link to this | view in chronology ]
Reply:
[ link to this | view in chronology ]
Ownership too
[ link to this | view in chronology ]
dog door
[ link to this | view in chronology ]
Night Vision
[ link to this | view in chronology ]
My View
[ link to this | view in chronology ]
[ link to this | view in chronology ]
[ link to this | view in chronology ]
Awesome
[ link to this | view in chronology ]
[ link to this | view in chronology ]
Typical...
[ link to this | view in chronology ]
Shell Company Patents
[ link to this | view in chronology ]
Auto
[ link to this | view in chronology ]
Cars
the best parts for jeeps and trucks are in https://www.autoshopping24.com/
[ link to this | view in chronology ]