Further third-party supplies companies settle with OEM over patent infringement suit.
Actionable Intelligence reports that IMEX America and several other firms have agreed to terms set by Lexmark with regards to a patent infringement suit over empty toner cartridges purchased by the companies from Greentec International.
In May, over 300 aftermarket companies received letters from the OEM warning of a potential infringement suit due to claims that they had been using empty cores sourced from overseas. In the letter, the companies were urged to agree to a “one-time settlement offer” and to pay royalties or else face being named in the suit.
Actionable Intelligence reported in early July that several of the third party supplies firms had settled with Lexmark, with two more agreeing to the terms of the settlement and the requested royalty payments last week. Furthermore, a judge for the U.S. District Court for the Southern District of Ohio “signed consent judgements and permanent injunctions” for the three most recent companies that have settled.
Greentec International recently commented on the case, with President and CEO Tony Perrotta claiming that Lexmark had been “very aggressive” in the measures taken to prevent its cartridges from being reused, with the OEM purportedly installing smartchips and licensing consumable cartridges under their invalidated rebate program.
International Imaging Technology Council agreed with Greentec, with I-ITC Executive Director Tricia Judge commenting: “Lexmark’s actions are unsupported by law or public policy.”