Ebay appeals patent loss

 

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By Reuters

Posted on 13 Dec 2007 at 12:00

Ebay is to appeal a US court ruling that it must pay $30 million to MercExchange after losing their long running patent dispute.

MercExchange, which holds several patents related to internet auctions, filed against Ebay in 2003, requesting an injunction against the website's continued use of the "Buy It Now" feature which allows users to skip bidding and buy an item outright.

Though a US district court found in MercExchange's favour, it denied the injunction claiming monetary punishment was sufficient.

Ebay disagrees, arguing that the new technology it designed to avoid patent infringement was effective and that there was no ongoing infringement of MercExchange's patent.

"We are disappointed with the court's order and we plan to appeal it," eBay says. "We intend to appeal the Court's ruling on the procedural issues and remain confident that after the appeal, the court will consider our arguments on their merits."

Ebay was initially found liable for $35 million, however, the US Court of Appeals reduced the award to $25.5 million.

Ebay is also embroiled in a lawsuit with luxury goods manufacturer Tiffany & Co, which has accused it of being a rat's nest of fake items.