Citigroup, HSBC lose patent dispute
LML agreed to a 7.5 million-dollar settlement with Citigroup, after having agreed to a 5.5 million-dollar settlement with HSBC.
The agreement, which pays for the use of LML's technology since 2008, is also payment to allow the two banks to use LML's technology for cheque conversion transactions until January 2013, when the patent expires.
The electronic payment solutions provider filed a lawsuit in the US District Court of the Eastern District of Texas against a host of financial institutions in 2008, says The Automated Trader.
It alleged they infringed a patent related to a point-of-sale system through "manufacture, importation, sale, offering for sale and/or use of payment services without authority or license of LML".
The point-of-sale system is designed to read information from a cheque or credit card and verify the customer has an appropriate balance, among other functions related to electronic banking.
The American Chronicle reports LML chief executive, Patrick Gainesas saying: "We are extremely pleased to have settled our litigation with Citi, and we welcome them as valued licensees.”
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