Verizon Avoids $175 Million Verdict Due to Patent Owner’s Delay

Verizon Communications Inc. dodged a $175 million verdict after a federal judge in Texas ruled the patent owner knew the telecom was infringing its patents by early 2017 but improperly delayed filing a lawsuit for six years to maximize its potential damages.

“By waiting until July 2023 to file suit,” plaintiff Headwater Research LLC “could and did seek damages for the entire six-year damages period permitted under” Section 286 of the Patent Act, Judge Rodney Gilstrap said. A separate final judgment issued Thursday indicates Headwater’s implied waiver of its right to bring the underlying suit erased Verizon’s liability in the ...