Lodsys continues targeting developers despite Apple’s defense

By on Jun 2, 2011 at 4:30 AM
mobile June 2, 2011

A firm called Lodsys has been targeting Apple and Android developers that it believes are using its in-app purchase technology illegally. Despite Apple’s efforts to argue that its developers are covered under the same license, Lodsys doesn’t appear to be letting up anytime soon — it’s giving developers 21 days to cough up licensing fees before it files lawsuits. In a few recent blog posts, Lodsys explained its position on the matter:

[Apple's] letter was very surprising as Apple and Lodsys were in confidential discussions and there was clearly disagreement on the interpretation of the license terms of Apple’s agreement. Before, during and after these interactions, Lodsys has carefully considered this issue and consulted several legal experts to consider Apple’s claims. We stand firm and restate our previous position that it is the 3rd party Developers that are responsible for the infringement of Lodsys’ patents and they are responsible for securing the rights for their applications. Developers relying on Apple’s letter do so to their own detriment and are strongly urged to review Apple’s own developer agreements to determine the true extent of Apple’s responsibilities to them.

Lodsys is so confident that it has the upper hand in this legal battle that it’s offering developers $1,000 if courts rule that Apple’s license does, in fact, cover them. According to MacRumors, the developers currently being targeted include Combay, Iconfactory, Illusion Labs, Machael G. Karr, Quickoffice, Richard Shinderman, and Wulven Games. Google has yet to respond to Lodsys’ complaints against Android developers.

[Via MacRumors]

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11 Comments

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  • Bullyboyb

    Don’t know what everyone else thinks but I say apple should put their money where their mouth is. Offer these developers legal advice or go further and say they will defend against these claims on bealf of the developers and if they loose they will pay the law suit. If not, don’t give developers false hope.

    I wonder how these contracts were drawn up between apple but I will tell you that if third party developers are not explicitly or implicitly included then they will have to pay up. All I know is that for a contract to be valid there should be valuable consideration exchanged. If apple did not pay this on behalf of the third party developers as the total price then they will have to pay their own way. Unless lodsys gave them a gift, not.

    Doesnt help that apple by saying the developers are covered by its agreement with lodsys have effectively admitted that the developers are using lodsys patents.

    Will watch this one closely. A few precedents might be set here. He he

    • Anonymous

      No precedents are going to be set here.  The courts are going to dismiss this as a fraudulent lawsuit.  Apple and Google, and all developers are covered in the agreement.  This is really a waste of time for Lodsys because Apple and Google lawyers could tie this up in the courts for years or until Lodsys is out of money if they wanted to.  I’ve seen these types of cases before, and the vast majority are dismissed. Some companies even file counter suits and win back all legal fees. If Apple and Google did that and won, Lodsys would be filing chapter 11 immediately.

    • Bullyboyb

      What are you talking about? Apple and google are not part of the lawsuit. What will they tie up in court? Its the individual developers being sued. Can they afford to tie this up in court?

      Precedents will be set with regards patent deals and third party rights in relation to thoose contracts

      • Anonymous

        Apple is a related party, and can counter sue. Further, I believe the defendants can drag Apple into it as well.

        The problem with Lodsys’ case is that iOS developers are only allowed to use Apple’s APIs, including the in-app purchasing function. This is licensed by Apple.

        It would be akin to someone creating a Flash game using Adobe products and being sued by a company that Adobe licenses their tech from. You can’t double dip.

      • Bullyboyb

        You make a very valid point which I am not going to argue with. All I am saying is was the licencing agreement drawn up to include third parties. Did the licensing agreement cover distribution of this technology to all apple developers making applications for the app store.
        The licensing fees are obviously dependant on what the agreement covered. I don’t know the specifics. That’s why I suggested apple actually gets involved on behalf of their developers by counter suing lodsys rather than just issuing a statement.
        Its not the developers fault that they can only use thoose tools. However for some reason I seem to think apple will leave the developers to deal with this one on their own.

  • Anonymous

    This is bizarre.. to use an analogy … If I buy a hammer to build a house, as the builder of the house I shouldn’t be liable if the owner of the patent of the hammer decides to pursue a claim against all those houses that have been built with that hammer… especially if the manufacturer of the hammer has licensed the patent.

    I wish the EFF and USPTO would shut these guys down, as they are clearly violating the intent of the patent system.

    • Anonymous

      Exactly.

  • sirpaul

    Bullshit at it’s finest….

  • http://www.facebook.com/vbeaucher Vincent Beaucher

    One thing I don’t understand is this 1000$ that Lodsys would give to everything developper (working with iOS and but also Android I think) if it _loses_…?! I mean, what the heck?? Do they think that by announcing that,  everything would think they’re nice people or that Apple would back off defending developpers? I don’t understand, I’ve never seen that before… Seems pretty stupid to me, still!

    • Anonymous

      I now believe they’re run by morons. Morons with egos.

    • Anonymous

      I imagine they’re hoping that if enough developers pay up they will set a precedent that the courts will support.

      All the major manufactures and OS providers should get together and collectively fight LodSys or the future of US mobile business will be affected negatively.

      Patent law in the US is crazy. The problem is of course that Apple, Google and others are quite happy to use the same laws when it suits them.

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