Palm and Xerox Settle Graffiti Dispute
Palm today announced that it has settled a patent infringement lawsuit first filed by Xerox Corporation nine years ago. Under the settlement, Palm will pay Xerox $22.5 million, which includes licensing fees for Unistrokes and two other patents. The agreement also calls for "patent peace," a seven-year mutual covenant not to sue within mutually agreed fields of use.
Xerox first filed the suit in April 1997 against U.S. Robotics, then the owners of Palm Computing, alleging that Palm's Graffiti handwriting recognition software infringed a Xerox United States patent relating to computerized recognition of handwriting.
Xerox's input technology is called Unistrokes and was patented in 1997. The patent in question is U.S. Patent No. 5,596,656, which covers unistroke touch screen input symbols.
Palm will pay Xerox $22.5 million for a fully paid-up license for three Xerox patents, including Unistrokes, and a seven-year mutual covenant not to sue for patent infringement within mutually agreed fields of use. Palm will account for the license as a charge against earnings in its fourth quarter of fiscal year 2006. Under the settlement, Palm's co-defendants, including PalmSource, Inc., a wholly owned subsidiary of ACCESS Co., Ltd., and 3Com Corp. will receive a full and unconditional release from the litigation, and each is entitled to a fully paid-up license to the Unistrokes patent.
- (June 2000) Xerox-Palm Patent Lawsuit Dismissed
- (Oct 2001) Xerox Lawsuit Over Graffiti Reinstated
- (Dec 2001) Palm Loses Graffiti Lawsuit
- (Jan 2003) PalmSource Licenses CIC's Jot for Graffiti 2
- (Feb 2003) Palm Xerox Patent Quarrel Continues
- (May 2004) palmOne Wins Summary Judgment Invalidating Xerox's Unistroke Patent
- (June 2006) Xerox Graffiti Lawsuit to be Reconsidered