BlackBerry Ltd (BBRY) Wins Court Order To Ban Sales By Typo Products

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BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) has scored a victory against Typo Products LLC, an iPhone keyboard case maker backed by American Idol host Ryan Seacrest. On Friday, BlackBerry won a preliminary injunction against Type Products, which prohibits the latter from selling its $99 iPhone case. U.S. District Judge William Orrick in San Francisco agreed that the TV host’s company likely infringed on BlackBerry’s intellectual property.

Typo violated BlackBerry’s patents used in Q10

In January, BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) filed a lawsuit against Typo Products LLC, allegedly for infringing its keyboard patents. Typo argued that the Canadian company’s claims were invalid as similar keyboard designs existed well before BlackBerry received the patent in 1999. But Judge Orrick ruled that Typo’s $99 iPhone case violates patents used in Q10. He ruled that the Waterloo-based company has convincingly shown that its keyboard designs are a big driver of goodwill and demand for BlackBerry smartphones. The judge rejected Typo’s argument that the John Chen-led company isn’t irreparably harmed by Typo Products’ actions.

According to Bloomberg Businessweek, BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) will have to post a bond in an amount enough to pay damages suffered by Typo Products if it’s found that the ban should not have been granted. Posting of the bond may take up to two weeks. As soon as that’s completed, the Ryan Seacrest-founded company will be barred from selling the keyboard case.

Typo previously thought BlackBerry’s lawsuit lacked merit

A BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) spokeswoman said that the company is pleased with the ruling. It will help BlackBerry prevent further injury from Typo’s theft of its patented technology. Typo said it’s disappointed with the ruling, and will appeal the decision. It had previously said that it thought BlackBerry’s lawsuit lacked merit. Judge William Orrick’s ruling came a day after the ailing smartphone maker said its sales are unlikely to pick up until next year. Though John Chen is making progress in restoring its profitability, weak outlook prompted a 6.5% decline in the stock.

BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) shares fell 1.07% to $8.32 in pre-market trading Monday.

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Vikas Shukla
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