Strategy in TECH...
While you were drinking your eggnog or otherwise enjoying your holidays, the Grinch stole all the good cheer from Monster LLC and owner Noel Lee when a jury in the case of Monster LLC v. Beats, et al agreed with Beats and ordered Monster and Lee to pay them $7,916,201.64 as reimbursement for their legal expenses.
As we recently reported, a federal jury gave Sonos a sweeping victory in the first “bellwether trial” in Sonos Inc. v. D&M Holdings Inc. et al, siding with Sonos on all counts and awarding them nearly $2 million in damages. Furthermore, the jury affirmed the validity of the three Sonos patents at issue, and disagreed with D&M’s assertion that the patents were not valid.
Strata-gee spoke with both sides of this case and, this decision notwithstanding, neither appears ready to back down, even as this is just the first of what will ultimately be three trials in the case – two where Sonos is the plaintiff, and a countersuit by D&M Holdings where they will be the plaintiff. Sonos won round one, but this is a multi-round fight.
Last Friday, after a full week of testimony, evidence, deposition playbacks, and attorney posturing, members of the jury listened closely as Judge William C. Bryson delivered instructions designed to clarify their deliberative process and their duty as “finders of fact” in the matter of Sonos, Inc. v. D&M Holdings Inc. d/b/a/The D+M Group, D&M Holdings U.S. Inc., and Denon Electronics (USA), LLC. The judges verbal instructions took a while to relay, as the reality is that patent disputes can be quite complex and the issues of intellectual property quite nuanced yet important.
In written form, which the Judge provided the jury for their easy referral, his instructions ran a full 27-pages long. After considering it all, the jury came back with a finding in favor of Sonos on all counts – and delivered an award to Sonos of just under $2 million for damages.
Ever since Sonos filed their patent infringement case against D&M Holdings – in reference to its then new HEOS line – things started out like the opening salvo in a boxing match. That was over three years ago in October 2014 and after an initial flurry, including the filing of a countersuit by D&M Holdings, the event went on to settle down into more of a wrestling match, as opposed to boxing. Each side jockeyed for leverage on the other, with our judgment giving a slight advantage to Sonos, whose legal team seemed just slightly better in their approach perhaps even winning over the judge in a series of mostly favorable rulings.
Now, on the eve of trial and in front of a new judge, things are really moving from its long, low simmer to a boil – in fact, boiling over in the days leading up to trial next week starting December 11.
As we perused the newswire services Monday, one release, from a New Jersey criminal defense law firm, caught our eye. Titled, “Are Your Smart Devices Betraying You?” the release was written more like a poison warning label than a news release. Your smart device, Westfield, NJ-based Stahl Criminal Defense Lawyers said, are “always on and potentially recording or transmitting.”
The battle for patent supremacy between Sonos and D&M Holdings is picking up significant steam. In one 30-day period of this year alone (June), we counted no less than 110 docket items. That’s more than four filings a day if you take out weekends. The vast majority of these items were heavy legal motions and other multi-dozen page document filings.
The lawsuit, originally brought by Sonos against D&M Holdings and their HEOS line, and ultimately reciprocated with a D&M counter-suit, has been raging on since October 2014. Yet as the matter is plunging headlong towards a trial by the end of this year, D&M is handed another loss, as Judge Richard G. Andrews denies two key D&M Motions for Summary Judgment in his last ruling before turning the matter over to a new judge.
BREAKING NEWSJust over a year ago, we told you about the Federal government bringing charges against popular retailer B&H Foto & Electronics Corp., better known as B&H Photo Video, alleging discrimination, bias, and harassment of workers at its Brooklyn Navy Yard warehouse. Filed by the U.S. Department of Labor’s Office of Federal Contract Compliance Programs, the action by the government told a seamy tale of material mistreatment of certain employees at the company, a Federal contractor subject to specific rules governing treatment of workers.
South Korea is buzzing at the news that prosecutors have demanded no less than a 12-year prison term for Samsung’s billionaire heir, Jay Y. Lee. Lee is accused of attempting to solidify his total control of the massive company through a sketchy scheme that included bribing the South Korean President, Park Geun-hye.
In February, we reported that George Leslie Manlove was convicted on approximately 170 out of a total of 200 Federal felony counts stemming from his tenure as CEO of the now-defunct Vann’s Electronics & Appliances in Montana. A few days ago, Manlove learned his fate in the form of a sentence from U.S. District Court Chief Judge Dana Christensen, and it wasn’t a pretty picture. Manlove has been ordered to serve a sentence of more than 5 years in a Federal Penitentiary.
Just one month after Delaware District Court judge Richard G. Andrews ruled against D&M Holdings’ attempt to have four key Sonos patents invalidated, we learn that Sonos was successful in winning a dismissal of three of D&M Holdings’ counterclaims of patent infringement against them. However, four additional counterclaims filed by D&M survived the challenge and the counter-lawsuit will continue.
