Verizon Ordered To Pay At Least $24M More To ActiveVideo - Multichannel

Verizon Ordered To Pay At Least $24M More To ActiveVideo

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A federal district court judge this week ordered Verizon Communications to pay at least $24.1 million in supplemental damages and interest to interactive TV technology vendor ActiveVideo Networks for infringing four of its patents -- on top of the $115 million a jury awarded in August.

Verizon did not immediately respond to a request for comment. The telco appealed the jury decision and previously said it would not pay any damages while the appeal is pending.

In August, a jury in the U.S. District Court for the Eastern District of Virginia found Verizon's deployment of FiOS TV violated four of the five patents asserted by ActiveVideo, whose largest customer is Cablevision Systems. ActiveVideo filed its suit in May 2010.

On Oct. 13, Judge Raymond Jackson of the same court issued a ruling finding that ActiveVideo is entitled to supplemental damages of $17.4 million plus prejudgment interest of $6.7 million. In addition, Verizon was ordered to pay post-judgment interest for patent infringement as of Aug. 2 when the jury decision was entered.

In May, Jackson ruled that two of Verizon's patents asserted in a counterclaim against ActiveVideo were invalid.

Separately, Verizon had sued Cablevision and brought a complaint before the U.S. International Trade Commission, alleging the MSO violated several telco-owned patents.

The ITC ultimately rejected Verizon's claims. The commission last month found that although Cablevision did violate one Verizon patent -- U.S. Patent No. 6,381,748 ("Apparatus and methods for network access using a set top box and television") -- the Virginia court had ruled it invalid. Verizon's lawsuit against Cablevision in the U.S. District Court in Delaware is now proceeding and the telco is appealing the judge's patent-invalidation ruling.

According to San Jose, Calif.-based ActiveVideo, it first contacted Verizon in 2005 seeking to reach an agreement to deploy its interactive TV solution on the FiOS network.

The ActiveVideo-Verizon case is docket no. 10-CV-248 in the U.S. District Court for the Eastern District of Virginia.

The four ActiveVideo patents that Verizon was found to have violated are U.S. Patent Nos.: 6,034,678, "Cable Television System With Remote Interactive Processor"; 5,550,578, "Interactive And Conventional Television Information System"; 6,100,883, "Home Interface Controller for Providing Interactive Cable Television"; and 6,205,582, "Interactive Cable Television System With Frame Server."

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