In the ongoing dispute between Anascape, Ltd., an invention and license-holding company, against Nintendo of America regarding Nintendo’s use of three patents a jury had found the video game company to infringe, the judge on July 23, 2008, granted a permanent injunction in his final decision. The injunction was stayed with certain conditions.

The injunction prevents Nintendo from selling its Wii Classic controller, GameCube controller and GameCube Wavebird wireless controller in the U.S. until the expiration of the earliest of the three patents, at least through 2012.

Judge Clark stayed the injunction, however, pending appeal, but Nintendo must deposit 7% of the sales price of each of the three controllers sold and 5% of the sales price of each Wii Remote sold into an escrow account. The number of Wii Remotes that Nintendo must deposit money for the sales of maxes out at twice the number Wii Classic controllers sold. Nintendo must deposit the funds for the controllers regardless of whether they’re sold individually or bundled with other products. The money can be released to either party by either a court order or a settlement between the two companies. Clark also awarded costs to Anascape and denied all other pending motions.

Judge Clark had indicated that the case “presented the classic ‘battle of the experts,’ and the jury clearly chose to believe Anascape’s infringement expert.”

The patents in the case were U.S. Patent Numbers 5,999,084; 6,102,802; 6,135,886; 6,208,271; 6,222,525; 6,343,991; 6,344,791; 6,347,997; 6,351,205; 6,400,303; 6,563,415; and 6,906,700.

The case is Anascape Ltd. v. Microsoft Corp. et al., case number 9:06-cv-158, in the U.S. District Court for the Eastern District of Texas.

An appeal is sure to follow.

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