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Holy crap the McKool Smith 3D games lawsuit might ruin everything

GDJustin

stuck my tongue deep inside Atlus' cookies
For those of you who need the backstory, read this story I wrote on Friday:

http://biz.gamedaily.com/features.asp?article_id=8236&section=feature&email=

Cliffnotes of that story: There's a lawfirm that sued 12 major game publishers, saying that they were in violation of their patent. The patent was for a specific method of displaying 3D images on a screen. They're financing this litigation by sending threatening letters to virtually EVERY minor publisher that exists. Those minor ones settle for a little money and then the firm uses that to go after the big money from the big pubs.

Ok, so enough with the backstory. Today I get a letter from a PC manufacturer who read my story.

Apparently McKool Smith ALSO has sued NINETEEN major PC hardware manufacturers. Basically they're saying that anyone who makes a graphic card capable of displaying 3D images and then puts it in a windows box is violating their patent. Companies listed include HP, Dell, Gateway, IBM, Toshiba, Sony, Acer, Matsushita, JVC, Polywell, and more.

Once again, they're financing this major litigation by sending threatening letters to minor hardware companies. What happens is it's much cheaper for these companies to settle with the patent holder, even when they know they're right and would win the case. It's often more money to win than to settle, so that's how these people running the patent shakedowns make their money.

When you enter into an agreement to pay a patent holder 75 cents (or whatever) for every machine you sell that includes a DVD drive (or whatever tech. supposedly violated their patent), an NDA comes tacked along with the settlement. That means that these companies can't even tell anyone who is sucking money from them through uncrupulous means.

I wonder how deep this all goes. All publishers sued, all hardware manufacturers sued...
 

GDJustin

stuck my tongue deep inside Atlus' cookies
MightyHedgehog said:
Yep, gotta love the opportunism possible today....not. Does McKool Smith actually have a case, though?

It doesn't matter. The PC maker who spoke with me today told me they're paying a company now a dollar for every system they sell, when they KNOW it's a bullshit patent claim. It was just cheaper for them to do that then it would have been to fight them in court and win.
 

bishoptl

Banstick Emeritus
EA by themselves will spend these guys into the ground, never mind the others. There's too much at stake, long-term.
 

Ranger X

Member
This guy is one major ass. Another example of stupid patent + guys trying to make money.
Where are the patents on music instruments so someone can sue the whole music industry? Man this is stupid...
 

jenov4

Member
Yeah these guys better have some deep pockets and balls to go after the gaming industry. EA alone can probably spend more than a small country's GDP in lawyers. :D
 

IgeL

Member
The big boys won't settle, like bishoptl said... So what happens when this goes to court and it's ruled in favor of the industry. Will those small companies stop paying or even want their money back?

And why do they settle actually... Doesn't the losing side (McKool) pay the winner's law fees in the USA? And couldn't the publishers/manufacturers make a joint defense or something...

Meh, this is so stupid I can't even think straight.
 

GDJustin

stuck my tongue deep inside Atlus' cookies
You guys are missing the point. EA can spend $20 million and two years to win, or just give the guys half that to make them go away, even if they know they WOULD win.

It might very will cost them more to take the lawfirm to court and win than it would to jus settle.
 

GDJustin

stuck my tongue deep inside Atlus' cookies
IgeL said:
And why do they settle actually... Doesn't the losing side (McKool) pay the winner's law fees in the USA? And couldn't the publishers/manufacturers make a joint defense or something...

No, that's the point. The US has no "losers pay" rule.
 

IgeL

Member
Sucks (in this case at least)...

But what about a joint defense? Surely it would be beneficial to everybody in the industry to get this thing repelled right now.
 

Patrick Klepek

furiously molesting tim burton
GDJustin said:
You guys are missing the point. EA can spend $20 million and two years to win, or just give the guys half that to make them go away, even if they know they WOULD win.

It might very will cost them more to take the lawfirm to court and win than it would to jus settle.

as if $20 million is much to EA. i sincerely doubt they'll let someone boss them around. they might lose more in the short term, but they'll more than make up for it in the long term.
 

Dan

No longer boycotting the Wolfenstein franchise
IgeL said:
Sucks (in this case at least)...

But what about a joint defense? Surely it would be beneficial to everybody in the industry to get this thing repelled right now.
That's what I would wonder.

I certainly don't think this would really go far in courts. The simple fact that the guy waited this long to pursue this alleged patent infringement is indicative of a sever interest in just abusing the system and not actually protecting his patent. Judges don't go for that too much nowadays from what I've seen. If you've got a patent that's being infringed, you pursue it in a reasonable timeframe, not several years after it's obvious, or at the very, very end of the patents lifespan.
 
The industry needs to fight this McKool fucktard or it'll get worse in the future. Paying off this bullshit only promotes more frivolous lawsuits with the sole goal of a quick settlement.
 

crazy buttocks on a train

quite possibly the greatest username
man oh man if you think EA's gonna pay these guys off, you're wrong wrong wrong fella. They stared down Microsoft over Live for YEARS until Gates blinked and spread his ass cheeks, you think Ea gives a shit about McKool? The hammer is coming and it's labelled EA LAWYERS friend. THey'll eat your babies.
 

bishoptl

Banstick Emeritus
crazy buttocks on a train said:
man oh man if you think EA's gonna pay these guys off, you're wrong wrong wrong fella. They stared down Microsoft over Live for YEARS until Gates blinked and spread his ass cheeks, you think Ea gives a shit about McKool? The hammer is coming and it's labelled EA LAWYERS friend. THey'll eat your babies.
:lol

Or they'll buy out McKool like they bought out Criterion and control the ENTIRE INDUSTRY.

...wait a second.
 

Mashing

Member
As an Origin, Westwood, Bullfrog fan... that made me cry Bish.
Fucking EA bastards

*promptly pre-orders LOTR: BFME*
 

DarienA

The black man everyone at Activision can agree on
bishoptl said:
:lol

Or they'll buy out McKool like they bought out Criterion and control the ENTIRE INDUSTRY.

...wait a second.

EA is the wrong company to fuck with in court.... hey I wonder if MS'll settle then finance the rest of the lawsuit? Nyah they'd never do something like that... ;)
 

LakeEarth

Member
Dan said:
That's what I would wonder.

I certainly don't think this would really go far in courts. The simple fact that the guy waited this long to pursue this alleged patent infringement is indicative of a sever interest in just abusing the system and not actually protecting his patent. Judges don't go for that too much nowadays from what I've seen. If you've got a patent that's being infringed, you pursue it in a reasonable timeframe, not several years after it's obvious, or at the very, very end of the patents lifespan.

Exactly. If he sued a year after he made the patent, he would've gotten nothing. He waited until 3D gaming was the norm before suddenly bringing this up. It's extortion, plain and simple.

Oh, and everyone is saying "EA " this and "EA" that... don't forget Nintendo's record of kicking ass in a courtroom. Just ask MGM.
 

GDJustin

stuck my tongue deep inside Atlus' cookies
Guys, there is no "he." McKool Smith is the name of the lawfirm. They acquired the rights to this old patent, and then sued everyone.
 

Kalren

Member
The patent system needs an overhaul. What's happening here is not the only problem with the patent system.
 
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