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DAILY NEWS AND INFORMATION
FOR THE GLOBAL GRID COMMUNITY / AUGUST 25, 2003; VOL. 2 NO. 34
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Breaking News -
General:
Brief Filed In Supreme Court
Standard Setting Case
Boston-based law firm Lucash, Gesmer & Updegrove LLP announced that it had
filed a "friend of the court" brief with the United States Supreme Court in
Rambus v. Infineon, one of the most closely watched cases in the technology
industry. Ten major standard setting bodies, as well as several leading
financial industry corporations and a standard setting joint venture, are
parties to the brief. The combined membership of the standard setting bodies
exceeds 8,600, including most major U.S. technology companies, as well as many
government agencies, universities, and other entities.
The brief was filed on behalf of the parties on a "pro bono" -- or fee-free
-- basis by Lucash, Gesmer & Updegrove. "Rambus v. Infineon goes to the
very heart of the integrity of the standard setting process," said Andrew
Updegrove, a partner at Lucash, Gesmer & Updegrove and the author of the
brief. "As we are a national leader in forming and representing the
organizations which set standards, we felt that it was our duty to acquaint
the Supreme Court with the importance of the issues involved. This is
hardly the right time for the courts to be undercutting processes that are
crucial to American technology, Homeland Security and national
competitiveness."
The case is so significant that additional briefs were filed by the
Attorneys General of 15 States and Puerto Rico, by the standard setting
body whose process was involved, and by five semiconductor companies.
The case history of Rambus v. Infineon has been a roller coaster, with
first one side, and then the other, gaining the advantage. Moreover,
estimates of the industry-wide royalties at stake run as high as a billion
dollars. But the impact of the case goes far beyond just the memory
industry. If the Supreme Court does not take the case, the process that
sets the more than 100,000 standards that affect nearly every aspect of
daily life in this country will be undermined.
As noted in the brief:
- Voluntary standards, especially technology standards, are vital to
the national interest, affecting almost all areas of modern life, safety
and commerce.
- The Federal government is dependent on such standards: Congress has
mandated the use of voluntary consensus standards by the Federal agencies
whenever possible.
- The failure by the courts to protect the standard setting process
would undercut the American economy and impair our international
competitiveness.
Lucash, Gesmer & Updegrove LLP, a Boston-based technology law firm,
gathered the impressive group of participants within the 30-day period
allowed by court rules. The decision whether to take the case may be made
by the Supreme Court as early as October of this year.
About Rambus V. Infineon
The underlying facts are as follows: Rambus Inc, which develops
semiconductor memory technology, participated in the standard setting process
of the Joint Electron Devices Engineering Council (JEDEC) in the early 90's.
During the design process, Rambus did not disclose that it held patents and
patent applications on designs included in the standards. When companies,
including Infineon, implemented those standards, Rambus sued for patent
infringement. Infineon counterclaimed, citing fraud, and a trial court found
Rambus guilty. To the astonishment of almost all, the fraud verdict was
overturned by a Federal District Appellate Court in January of this year. In
the meantime, the Federal Trade Commission had brought claims against Rambus
as well. A trial based upon those claims is currently taking place before an
administrative law judge. In July, Infineon took the last defensive step
available to it, and petitioned the Supreme Court to intervene.
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