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TecSec Files Patent Infringement Suit Against IBM, SAP, SUN, eBay, Adobe, Cisco, Oracle, and Others


News provided by

Hunton & Williams LLP

Feb 09, 2010, 09:25 ET

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WASHINGTON, Feb. 9 /PRNewswire/ -- Hunton & Williams LLP and DiNovo Price Ellwanger & Hardy LLP filed a patent infringement suit on behalf of client TecSec, Incorporated against several of the world's leading technology companies. The defendants include IBM, SAS Institute, SAP, Cisco, SUN Microsystems, Sybase, Software AG, Adobe, eBay, PayPal, and Oracle. The suit was filed on Friday, February 5, 2010, in the U.S. District Court for the Eastern District of Virginia.

The complaint includes allegations of infringement of 11 U.S. patents issued to TecSec covering core encryption technology used by the defendants' customers to protect valuable commercial data, such as credit card information, health care information, and other information companies are required by law to secure. The complaint alleges the defendants have earned billions of dollars of revenue through the unauthorized use of TecSec's patented encryption technology in the manufacture and sale of numerous database management systems, application servers, and processing systems. These include IBM's DB2 and WebSphere Application Server; Oracle's Application Server and Oracle Database system; and SUN's UltraSPARC processors. In addition to seeking damages, the suit asks the court to permanently bar the defendants from selling any products using TecSec's patented technology.

TecSec sued Microsoft last year alleging infringement of some of the same patents involved in the complaint just filed. The parties settled in September 2009.

"TecSec has suffered irreparable harm by the defendants' unauthorized sale of systems and methods covered by its patents," said Brian M. Buroker, head of the Hunton & Williams intellectual property practice and lead counsel to TecSec. "The defendants have earned billions of dollars selling, supporting, and providing consulting services for products that incorporate TecSec's technology without providing any compensation. This suit seeks justified redress for TecSec."

"We have invested significant time and resources in the development of this technology, which others have used to secure positions of dominance in the marketplace," said Edward M. Scheidt, TecSec's founder and chief scientist. "By making unauthorized use of our innovations, the companies named in this suit have prevented us from leveraging our own technology. We are asking the court to do what is required by law and allow us to benefit from the technology we invented."

Scheidt founded TecSec in 1990 after a 26-year career with the CIA. According to the CIA web site, Scheidt "made a career of keeping the nation's secrets safe by utilizing codes." More information on Scheidt can be found at http://www.tecsec.com/about/about.htm as well as at https://www.cia.gov/news-information/featured-story-archive/2008-featured-story-archive/ed-scheidt.html and http://en.wikipedia.org/wiki/Edward_Scheidt.

A copy of the filed complaint is also available.

About TecSec, Incorporated

TecSec, Incorporated, founded in 1990, is a privately held company located just outside of Washington, DC. Through a large library of patents and ever-growing intellectual property, TecSec provides (1) Information Assurance products for the network and desktop; (2) Information Management and Dynamic, Assured Information Sharing through cryptographically enforced Role Based Access Control (RBAC); and (3) CKM Enabled® Solutions, for example, for Digital Rights Management (e.g., secure distribution of newly released, first run movies) and for Critical Infrastructure Protection (e.g., SCADA, Utilities). For more information, please visit www.tecsec.com.

About Hunton & Williams LLP

Hunton & Williams LLP provides legal services to corporations, financial institutions, governments and individuals, as well as to a broad array of other entities. Since our establishment more than a century ago, Hunton & Williams has grown to nearly 1,000 lawyers serving clients in 100 countries from 19 offices around the world. While our practice has a strong industry focus on energy, financial services, and life sciences, the depth and breadth of our experience extends to more than 100 separate practice areas, including bankruptcy and creditors rights, commercial litigation, corporate transactions and securities law, intellectual property, international and government relations, regulatory law, products liability, and privacy and information management. For additional information visit our website at www.hunton.com.

About DiNovo Price Ellwanger & Hardy LLP

DiNovo Price Ellwanger & Hardy LLP advises clients in all aspects of intellectual property, commercial and employment litigation. Founded in 2007 in Austin, Texas, DiNovo Price has quickly become one of the nation's most experienced intellectual property and commercial litigation boutique law firms. DiNovo Price provides clients with efficient, aggressive, creative, and cost-effective legal counsel. Serving domestic and internationally based companies, public corporations, privately held businesses, high net worth individuals, and emerging technology ventures, DiNovo Price represents both plaintiffs and defendants in a wide variety of disciplines, venues and forums. For more information on the firm, visit our web site at www.DPEHLaw.com.

SOURCE Hunton & Williams LLP

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