SPLG client, Immmersion Entertainment LLC, announced the execution of a Patent Licensing Agreement, under which Immersion grants Kangaroo Media Inc. exclusive worldwide rights to Immersion’s intellectual property portfolio until December 31, 2010. The Patent License Agreement provided for a payment by Kangaroo to Immersion of US$2.0 million on February 1, 2008, in addition to payments of royalties on covered sales retroactive to January 1, 2008 based on a royalty schedule set forth in the Patent License Agreement. The Patent License Agreement is subject to minimum royalties of US$1.0 million for each of 2008 and 2009, which will be applied against the royalty schedule. At the end of 2010, Kangaroo will have the option to retain the exclusive worldwide rights to Immersion's intellectual property portfolio, subject to minimum yearly royalty payments as set forth in the Patent License Agreement.
Immersion's Licensed Patent portfolio includes three issued patents in the United States, one in Australia and one in China. Additional patent protection has been sought with ten pending applications filed in the United States, three in Europe, three in Canada and one in Japan.
SPLG represents Immersion in connection with patent matters including, among other things, actively managing Immersion’s portfolio relative to competitive challenges. Members of SPLG prosecuted and obtained allowance of each of Immersion’s licensed patents.
"The settlement with Immersion is a significant milestone for Kangaroo. Going forward, Kangaroo will benefit from much broader intellectual property protection. With the Immersion settlement, Kangaroo obtains immediate worldwide exclusive protection for Immersion's sizeable intellectual property assets. Furthermore, the exclusive license enables Kangaroo and Immersion to benefit from injunctive remedies and damages in situations where a competitor would infringe the licensed patent portfolio," said Alain Charette, Executive VP of Corporate Development of Kangaroo.
"Both organizations will largely benefit from this settlement which will free-up financial and human resources. It will help further the development and improvements to our technology and provide broader protection and enforceability for our intellectual property," said Mr. Taz L. Anderson, Chairman and founder of Immersion. Read more...