A so-called Markman hearing – in which a trial judge hears evidence and definitions and then determines asserted patent claims as matters of law – has been scheduled for February 6, 2004, in U.S. District Court in Irvine, California, in the battle between Acacia Media Technologies and a number of adult Internet companies challenging Acacia's streaming media patent claims.
Federal judge Joseph Ware met November 21 with parties on both sides of the case, in which Acacia has sued several adult Internet companies for patent infringement and those companies – spearheaded by New Destiny Media/Homegrown Video and VideoSecrets – have challenged the patent claims rather than simply sign licenses with the Newport Beach firm.
The meeting was spent discussing effective case management, and agreeing to consolidate the case into a whole for discover purposes, rather than do it individually for thirteen individual, active litigants who continue to challenge Acacia's patent claims.
Acacia doesn't expect quick resolution of the patent issue, on February 6 or otherwise. New Destiny/Homegrown chief Spike Goldberg said the Markman hearing "is a pretty substantial thing that we're all excited about," and that his side looked forward to beginning serious discovery efforts in the contentious case.
"We have a very good judge," Goldberg said. "We actually have a very good thing that's happened. If the judge defines streaming as what we all do on the Internet, fine. If the judge looks at the word 'transmission,' and if transmission means data going from point A to point B, as opposed to the judge saying transmission means streaming on the Internet, that's why this is so substantial."
Golberg also said the adult Internet companies' challenging the patent claims demonstrated a tenacity Acacia may not have expected. "The fact that they are stuck in court with us symbolized a remarkable miscalculation about our industry and our tenacity," he said. "We're not going to be scared into a corner because somebody comes and sues us for patent infringement. Not everybody's going to duck out when somebody throws legal bills in our face."
The November 21 meeting occurred nine days before a deadline Acacia set for offering waivers of past due fee and royalty claims to those who agree to license the patent claims, a group which Acacia calls Digital Media Transmission.
Most recently, Acacia filed suit against On Command, which provides digital video to over 300,000 hotel rooms and which Acacia claims is infringing the same streaming media patents. That action was filed in federal court November 13. Previously, Acacia had signed a licensing deal with LodgeNet, which provides similar services to over 350,000 hotel room, for the streaming media patents.
