Klarquist Wins Summary Judgment of Non-Infringement for Clients Intuit, LinkedIn, Twitter, and Yelp

Published June 20, 2014

On June 20, 2014, United States Circuit Judge William C. Bryson, sitting by designation in the Eastern District of Texas, granted summary judgment of non-infringement to end cases filed by TQP Development, LLC against Klarquist clients Intuit, LinkedIn, Twitter, and Yelp. On July 23, 2014, Judge Bryson denied TQP’s motion for reconsideration and entered orders dismissing all claims with prejudice.

The asserted patent, U.S. Patent No. 5,412,730 (the ’730 patent), is generally directed to data encryption technology. Klarquist attorney, Scott E. Davis, argued the motion for summary judgment of non-infringement on May 27, 2014, and Judge Bryson agreed that TQP had failed to offer any evidence on a key limitation of the claims in the ’730 patent. That decision should effectively end TQP’s litigation campaign in which it had sued hundreds of companies that used RC4 with SSL/TLS for encryption.

TQP asserted the ’730 patent in over 150 suits filed since 2008. Klarquist successfully represented nine clients in these suits, none of which paid TQP the hundreds of thousands of dollars TQP extracted on average from more than 139 companies that settled in the aggregate for in excess of $45 million.

Intuit, LinkedIn, Twitter, and Yelp are represented by Klarquist attorneys Scott E. Davis, Derrick W. Toddy, John D. Vandenberg, and Philip Warrick.