Target Stole Combined-Payment Technology, Patent Lawsuit Says

A technology company accused Target Corp. of infringing patents for payment systems that combine multiple funding sources through the retailer’s mobile app and point-of-sale terminals.

CardTek International Ltd. sued Target Tuesday in the US District Court for the Eastern District of Texas, alleging Target’s app and in-store payment systems violate three patents covering a “Payment Convergence System and Method” that allows customers to use multiple payment sources in a single transaction.

Target’s mobile app allows customers to combine rewards, saved deals, gift cards, and traditional payment methods such as credit cards in one transaction at checkout, the complaint said. CardTek ...