Nintendo Crushes Patent Troll, Then Buys Its Portfolio

Andy Chalk

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Nov 12, 2002
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Nintendo Crushes Patent Troll, Then Buys Its Portfolio


Nintendo now owns the entire patent portfolio of a company that sued it in 2010 for - you guessed it - patent infringement.

It probably seemed like a good idea in 2010 when Maryland-based IA Labs launched a lawsuit against Nintendo, claiming that the Wii Fit, Wii Fit Plus and other peripherals infringed upon two of its patents. But Nintendo defended itself against the claims and won the case in early 2012, and was also awarded some of the legal fees it incurred in its defense. IA Labs appealed and lost again [http://www.escapistmagazine.com/news/view/125202-Nintendo-Triumphs-in-Patent-Infringement-Lawsuit] in June 2013, and was ordered to pay Nintendo's additional legal fees.

Sadly for IA Labs, it couldn't afford to cover those costs, and so the court ordered the sale of its assets, including its entire patent portfolio, which was snapped up by none other than Nintendo.

"Nintendo's track record demonstrates that we vigorously defend patent lawsuits, like the IA Labs lawsuit, when we believe we have not infringed another party's patent," Nintendo of America Vice President and Deputy General Counsel Richard Medway said in a statement. "This includes holding those who sue Nintendo responsible for the costs and expenses incurred in patent litigation."

Yup. Probably seemed like a fine idea indeed.

Source: BusinessWire [http://www.businesswire.com/news/home/20140109005837/en/IA-Labs-Loses-Patent-Portfolio-Nintendo-Nintendo#.UtQMRbQvkiw]


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CriticalMiss

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What is best in life?

Nintendo: To crush your enemies, to see them driven before you, and to hear the lamentations of their patents.
 

GamemasterAnthony

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CriticalMiss said:
What is best in life?

Nintendo: To crush your enemies, to see them driven before you, and to hear the lamentations of their patents.
You get a Win Point for that, CM.

Now if only Sega would do the same in regards to one Kenneth Penders and nip THAT idiot in the bud.
 

PunkRex

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I heard Nintendo salted IA Lab's fields afterwards too.

Seriously though, good, patent parasites deserve what they get. I have no sympathy for people who don't work for a living.
 

Roxas1359

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Aug 8, 2009
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GamemasterAnthony said:
Kenneth Penders and nip THAT idiot in the bud.
Can SEGA legally do anything about that? I mean, they allow the Archie Comics to use their IP and characters in the comics, but I don't think they own any of the original characters that were made for the comic, hence why the case was settled. That's why Kenneth Penders was able to take all the Echidnas except for Knuckles and Tikal out of the newly rebooted universe. Still don't like Mr. Penders in the slightest though after that huge kerfuffle and how many characters had to either be reworked, or are banned from the comics.
 

StHubi

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Wasn't there just another patent infringement lawsuit because of the 3DS's screen? But this time Nintendo lost... Perhaps it will take a little bit longer, but I could imagine that they are already checking the options for this.
 

Quiotu

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Neronium said:
GamemasterAnthony said:
Kenneth Penders and nip THAT idiot in the bud.
Can SEGA legally do anything about that? I mean, they allow the Archie Comics to use their IP and characters in the comics, but I don't think they own any of the original characters that were made for the comic, hence why the case was settled. That's why Kenneth Penders was able to take all the Echidnas except for Knuckles and Tikal out of the newly rebooted universe. Still don't like Mr. Penders in the slightest though after that huge kerfuffle and how many characters had to either be reworked, or are banned from the comics.
I would consider this to be a worthy goal if Sega'd done anything worthwhile with Sonic the Hedgehog in the last 20 years. Seriously, if you were Kenneth Penders and created something in the Sonic universe that actually succeeded, would you want to turn your creations over to Sega so they could utterly destroy any momentum you had?
 

Roxas1359

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StHubi said:
Wasn't there just another patent infringement lawsuit because of the 3DS's screen? But this time Nintendo lost... Perhaps it will take a little bit longer, but I could imagine that they are already checking the options for this.
Nintendo lost the patent suit last year in March, and then filed an appeal. They appeal however was not successful. That's the recent one that was in the news, and that one had probably more evidence that is probably not being shown for a ruling like that to happen.
This case however, is indeed a patent troll, so they got crushed. :p
 

Roxas1359

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Quiotu said:
I would consider this to be a worthy goal if Sega'd done anything worthwhile with Sonic the Hedgehog in the last 20 years. Seriously, if you were Kenneth Penders and created something in the Sonic universe that actually succeeded, would you want to turn your creations over to Sega so they could utterly destroy any momentum you had?
Well just so you know, I've like most of the Sonic games that came out, baring Sonic Genesis on the GBA, Chronicles, and 06, so they have some things at least. Although really if you read the whole situation with it Penders just made a big old mess, and over Sonic Chronicles for Pete's sake. Either way, Penders went up against both EA (since it was a Bioware game) and SEGA, yeah no way that wasn't gonna end in Pender's favor.
That's like what happens when a Patent Trolls go up against Nintendo, they get crushed. XD
Not to mention Penders tried suing them in the state that I live in. Yeah, that wasn't go well for him either, since California's government system and court system is...strange.
 

WhiteTigerShiro

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Based on the headline I was gonna say that it's dumb to reward the patent trolls by giving them money, but now that I see the details it's more "We bought your shit so that you can afford to pay our legal fees, so in the end you walk away with nothing". Good show.
 

Scars Unseen

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WhiteTigerShiro said:
Based on the headline I was gonna say that it's dumb to reward the patent trolls by giving them money, but now that I see the details it's more "We bought your shit so that you can afford to pay our legal fees, so in the end you walk away with nothing". Good show.
Well not only that, but buying IA Labs' patent portfolio prevents a different patent troll from snapping it up and starting the mess up all over again. I think that future nuisance prevention was likely the primary motivator here, else they would have let someone else spend the money. IA Labs would have had to pay them either way.
 

BrainWalker

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Stuff like this is why I'm so surprised Nintendo recently lost that bullshit patent lawsuit over the 3Ds's glasses-less 3D screens. Nintendo, much like its competition, don't take no shit. Except from Tomita Technologies, now.
 

Headsprouter

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Ohhhh, snap. Looks like I can use a certain gif...


Nourish thyself with the flesh of thine enemies, Nintendo.
 

FalloutJack

Bah weep grah nah neep ninny bom
Nov 20, 2008
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Andy Chalk said:
+5 Troll-Slaying Hammer
Ah, who says you can't beat trolls? They are a sad kind of clown that doesn't realize that we're laughing at them, not with 'em, and thinks it's all good.

*Sigh*

So! Who here thinks the next game Nintendo makes will be Super Mario Business Plan? I think it'd work.
 

Leemaster777

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CriticalMiss said:
What is best in life?

Nintendo: To crush your enemies, to see them driven before you, and to hear the lamentations of their patents.


Well done.

OT: I suppose if you MUST crush your enemies, it's best to eat them too. That's how you gain their power.
 

Dragonbums

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May 9, 2013
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Neronium said:
GamemasterAnthony said:
Kenneth Penders and nip THAT idiot in the bud.
Can SEGA legally do anything about that? I mean, they allow the Archie Comics to use their IP and characters in the comics, but I don't think they own any of the original characters that were made for the comic, hence why the case was settled. That's why Kenneth Penders was able to take all the Echidnas except for Knuckles and Tikal out of the newly rebooted universe. Still don't like Mr. Penders in the slightest though after that huge kerfuffle and how many characters had to either be reworked, or are banned from the comics.
Not that anyone gave a shit or lamented at the loss of Knuckles 30 million recolors from what I remember. I think him getting the boot along with his characters was the best thing to happen to the series.

In retrospect though I think the copyright really belongs more to Archie comics than anything. Seeing as the characters aren't really official with SEGA.
 

Roxas1359

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Dragonbums said:
Not that anyone gave a shit or lamented at the loss of Knuckles 30 million recolors from what I remember. I think him getting the boot along with his characters was the best thing to happen to the series.

In retrospect though I think the copyright really belongs more to Archie comics than anything. Seeing as the characters aren't really official with SEGA.
Agreed on that. I remember my friend and I were talking about it extensively on a stream I did for Sonic Adventure 2 Battle.

And as for the copyrights, that's what I'd think since SEGA was only allowing Archie to use their characters for the series, and I checked and SEGA doesn't own the Archie Comic Publication. It's also bittersweet to see that after all of these huge kerfuffles that his comic isn't doing as hot as he'd like it to.
 

Dragonbums

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Neronium said:
Dragonbums said:
Not that anyone gave a shit or lamented at the loss of Knuckles 30 million recolors from what I remember. I think him getting the boot along with his characters was the best thing to happen to the series.

In retrospect though I think the copyright really belongs more to Archie comics than anything. Seeing as the characters aren't really official with SEGA.
Agreed on that. I remember my friend and I were talking about it extensively on a stream I did for Sonic Adventure 2 Battle.

And as for the copyrights, that's what I'd think since SEGA was only allowing Archie to use their characters for the series, and I checked and SEGA doesn't own the Archie Comic Publication. It's also bittersweet to see that after all of these huge kerfuffles that his comic isn't doing as hot as he'd like it to.
I think it's more in tune to the popularity of Sonic over time right now. It's actually amazing that the comic still lives on to this day long after the show it was based on wasted away. (and a damn shame too. That whole show was well written, and Ben Hurst had a clear passion for where he wanted to take it. May he rest in peace.) Especially considering that a majority of the cast are characters from this long dead show, that only a couple thousand cult fans still remember. Definitely means the writing isn't bad.

Perhaps SEGA could at least throw them a bone and advertise the comics in their games once in a while ala Sonic Mega Collection style, where they showcased cover art for the comics and offered sneak peeks of the story inside.