AT&T Corp.

Dallas, TX: (Sep-18-07) Dallas-based TGIP Inc. brought patent infringement charges against AT&T Corp., alleging that the San Antonio based company infringed on two TGIP patents that allow customers to buy calling time and recharge previously used calling cards at retail outlets. The lawsuit accused AT&T of marketing and selling prepaid calling cards and offering activation of the cards at the time of purchase under the AT&T brand name. The suit also named MCI/Verizon as a defendant, who reached a confidential settlement with TGIP during the course of the trial. The other companies named in the lawsuit PRE Holdings Inc. and affiliates, US South Communications and IDT Corp. settled before the trial.

In a settlement reached with AT&T in US District Court for the Eastern District of Texas in Beaumont, AT&T agreed to a $156 million payout. The attorneys stated that they are requesting the court also award attorneys' fees and related future royalties from AT&T. [DALLAS BUSINESS JOURNAL: CALLING CARD PATENT]

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Published on Sep-19-07