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Stroock Client XpertUniverse Inc. Lands $70 Million Jury Verdict in Fraud and Patent Infringement Case Against Tech Giant Cisco Systems Inc.


News provided by

Stroock & Stroock & Lavan LLP

Mar 27, 2013, 05:34 ET

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NEW YORK, March 27, 2013 /PRNewswire/ -- Stroock & Stroock & Lavan LLP obtained a jury verdict of over $70 million in damages for fraud and patent infringement for its client XpertUniverse Inc. in its closely watched lawsuit against tech giant Cisco Systems Inc.

XpertUniverse, Inc. is a leading developer of expert location, collaboration and business intelligence solutions, and a one-time collaborator with Cisco Systems in developing software intended to improve call center technology and interactive business solutions.  Their relationship ended, however, after Cisco fraudulently concealed important information from XpertUniverse as part of a scheme to prevent XpertUniverse from partnering with Cisco's competitors while Cisco planned to launch its own products.

"The jury really saw the heart of the matter in this case – a Silicon Valley heavyweight appropriating technology from a smaller company and destroying it in the process," said Stroock Intellectual Property partner Charles Cantine, the lead attorney on the case. "The fact that they found not only patent infringement, but fraud, really speaks to what this case is about: protecting the intellectual property rights of innovators.  Had the judge allowed the jury to decide punitive damages, we believe this judgment would have been many orders of magnitude greater."

"Leading technology companies are, at the end of the day, businesses that operate in a highly competitive environment," observed Cantine. "Here, Cisco crossed the line, committed fraud and destroyed a potential competitor in the process. We are pleased the jury saw that, in this case, Cisco's conduct was clearly deceptive."

The Stroock team that handled the litigation included Partner Charles Cantine and Special Counsel Jason Sobel.  Both are part of Stroock's high tech Intellectual Property Practice, which was awarded a jury verdict of $30MM on behalf of its client Tomita Technologies International, Inc. against 3D Technologies two weeks ago.

XpertUniverse, Inc. is a developer of expert location, collaboration and business intelligence solutions, redefining customer interactions and communications through XpertSHARE — its interactive, web-based, real-time expertise locator, full-media collaboration, and web-enabled business intelligence solution.

Stroock & Stroock & Lavan LLP is a law firm providing transactional and litigation guidance to leading multinational corporations, investment banks and private equity firms in the U.S. and abroad.  Stroock's emphasis on client service and innovation has made it one of the nation's leading law firms for 130 years.  Stroock's practice areas include capital markets/securities, commercial finance, mergers and acquisitions and joint ventures, private equity, private funds, derivatives and commodities, employment law and benefits, energy and project finance, entertainment, environmental law, financial restructuring, financial services litigation, insurance, intellectual property, investment management, litigation, personal client services, real estate, structured finance and tax.  For more information, please visit Stroock's website at www.stroock.com.

SOURCE Stroock & Stroock & Lavan LLP

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