Cellport Systems v. Peiker Acustic

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In October 2004, Cellport Systems, Inc. and Peiker Acustic GMBH & Co. KG entered into an agreement concerning Cellport’s technology for the hands-free use of cellphones in cars. In 2009, Cellport filed suit against Peiker, alleging breach of that agreement and sought royalties for seven Peiker products. The district court awarded Cellport royalties on only two of the products, interpreting an acknowledgment in the license agreement as "a rebuttable presumption." Cellport appealed, and Peiker filed a conditional cross-appeal. Upon review, the Tenth Circuit affirmed in part, reversed in part, and remanded. The Court found that section 1.17(i) of the License Agreement created a category of products on which royalties are due regardless of whether any of Cellport’s patents were infringed; Peiker owed Cellport royalties on those products. On remand, the district court was directed to calculate the damages due Cellport for those two products. Because the district court only briefly addressed the relationship between the "BTPSC" and the "'456 Patent" the Tenth Circuit remanded to allow the district court to determine whether additional royalties were owed to Cellport. With respect to Peiker's cross-appeal, the Tenth Circuit agreed with Cellport that the issue was not ready for appellate review and further held that it was not ripe for review by the district court. View "Cellport Systems v. Peiker Acustic" on Justia Law