Blue Coat Systems Fails to Overturn $39.5M Jury Award in Finjan Case, but Avoids Enhanced Damages and Fees

  • July 22, 2016

Blue Coat Systems has lost its attempt to escape a $39.5M jury award in an infringement suit brought by Finjan, Inc. (5:13-cv-03999) over six anti-malware patents (6,154,844; 6,804,780; 6,965,968; 7,058,822; 7,418,7317,647,633). In an order issued on July 18, District Judge Beth Labson Freeman denied Blue Coat’s motion for a new trial and its renewed motion for judgment as a matter of law (RJMOL). The company had argued in its retrial motion that improperly admitted evidence concerning settlement and licensing agreements between Finjan and other defendants, as well as testimony regarding Blue Coat’s total product revenues during the infringement period, had resulted in undue prejudice to the jury. Judge Freeman rejected these arguments, holding that the evidence had not been highly prejudicial. The court then denied Blue Coat’s RJMOL motion, ruling that the jury’s August 2015 verdict had been supported by sufficient evidence with regard to both damages and infringement, and declined to revisit an earlier bench trial order. Although these rulings left standing the original $39.5M jury award, Judge Freeman also denied Finjan’s request for a further $120M in enhanced damages under the more relaxed standard set by the Supreme Court’s recent decision in Halo/Stryker. In addition, the court denied Finjan’s motion for attorney fees, ruling that the case was not exceptional under Octane, but granted the NPE’s motion for pre- and post-judgment interest.


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