Finnegan client BMW successfully convinced Scramoge Technology Ltd., an Irish non-practicing entity, to voluntarily dismiss its claim that the automobile manufacturer infringed their wireless charging portfolio. Scramoge sued BMW in Texas and Michigan federal courts.
On August 22, a federal judgein the Eastern District of Michigan dismissed with prejudice all claims against BMW that were brought by Scramoge, an affiliate of Atlantic IP Services Ltd. In the Eastern District of Texas case, Scramoge asserted that the infringement stemmed from charging trays made by BMW supplier Molex LLC. During the litigation, Scramoge submitted to BMW a covenant not to sue and notified them that they reached a settlement with Molex. However, according to BMW, Scramoge failed to make good on its promise not to sue and instead dismissed the Texas suit without prejudice.
BMW told the judge that they do not have any assurance that Scramoge will not spring a new infringement case on BMW when it so chooses. Finnegan partner Lionel Lavenue told the Texas Lawyer that, “BMW’s apprehension is well-founded, as Scramoge’s parent entity, Atlantic IP, has sued BMW in six different cases across U.S. district courts, the International Trade Commission, and in Germany over the past three years.”
He added that Finnegan’s strategy was based in part on the law firm’s awareness of how Atlantic IP, a known patent troll, operates.
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