PLANO, Texas--(BUSINESS WIRE)--DataTreasury Corporation, a Texas-based check-processing company, announced today that its $27 million jury award in DataTreasury Corp. v. U.S. Bank, et al., has been increased to more than $60 million by the court which heard the case.
The jury that heard the case in March 2010 awarded DataTreasury nearly $27 million in damages after finding that Minneapolis-based U.S. Bank and banking-industry service providers Viewpointe and The Clearing House had jointly infringed the company’s two check-imaging patents. The jury found that U.S. Bank and Viewpointe had infringed the patents willfully.
On September 27, 2010, the U.S. District Court for the Eastern District of Texas (Marshall Division) ruled that the U.S. Bank jury award should be doubled and supplemented with interest payments, bringing the total award to more than $60 million. In its ruling, the court stated that the enhanced award was granted “to more effectively punish the willful infringement found by the jury.” According to the court, these new damages will be shouldered entirely by U.S. Bank.
Since filing its first patent-infringement lawsuit in 2002, DataTreasury has argued that the U.S. banking industry has deliberately and systematically infringed U.S. Patent Nos. 5,910,988 and 6,032,137, which were awarded to Claudio Ballard, the company’s founder, in 1999 and 2000 for image capture, centralized processing, and electronic storage of document and check information. These patents cover technology which is used in the implementation of the Check Clearing for the 21st Century Act (“Check 21”) and which enables banks to save billions of dollars annually in check-processing costs.
JPMorgan Chase, Wells Fargo, Citibank, and dozens of other major financial institutions have agreed to license DataTreasury’s intellectual property. JPMorgan Chase is among those banks which have not only publicly acknowledged the validity of these patents, but also admitted having infringed them.
DataTreasury is scheduled to go to trial on October 12, 2010, against Bank of America, LaSalle, and SunTrust. Alleged damages in this trial total more than $1 billion. The case will be heard by the same court that heard the U.S. Bank trial.
About DataTreasury Corporation
A privately owned company, DataTreasury was formed in 1998 and is built around an extensive patent portfolio, which includes patents covering its Global Repository Platform, the world’s most functional and secure informational management system. Several countries have recognized the patentability of this technology, and DataTreasury has many other pending patent applications surrounding this system. For further information on DataTreasury, please visit www.datatreasury.com.