Net MoneyIN, Inc. Sues 33 Companies for Infringing Patent Covering Internet Payments
TUCSON, Ariz., Sep 17, 2001 /PRNewswire via COMTEX/ -- Net MoneyIN, Inc. announced today that it has filed a patent infringement suit in Arizona against thirty-three companies that enable Internet merchants to accept credit cards for purchases made on the Internet.
Included in the lawsuit, are: Mellon Financial Corporation; VeriSign Payment Services, Inc.; Cardservice International Inc.; American Express Financial Advisors, Inc.; Bank One Corp.; Citibank, N.A.; Wells Fargo & Co.; InfoSpace Inc. (authorize.net); and Payment LLC (paymentech.net).
The two patents named in the lawsuit (U.S. Patent No. 5,822,737 and No. 5,963,917) were assigned to Net MoneyIN by the inventor and vice-president, Mark E. Ogram. Mr. Ogram recognized many years ago that a highly secure method for accepting credit card payments by Internet merchants was important. Applying his engineering background and business experience resulted in the highly effective invention which has become the Internet technique of choice. Infringement is a sincere compliment to an inventor.
The facilitator of these transactions has acquired the name, "Internet payment gateway" or "third-party processor." According to the U.S. Department of Commerce, Internet retail sales for 2000 was in excess of $32B and is experiencing a growth rate in 2001 of 33.5%.
While damages are not specified in the filings, "Even a deeply discounted charge of $0.03 per transaction would generate yearly damages in excess of $30 million. Companies which settle before discovery would qualify for special consideration. For some companies, we are asking for treble damages due to the 'willfulness' of the particular defendant in infringing the patent rights," stated David Fink, the patent litigation attorney representing Net MoneyIN.
Mr. Ogram remarked, "Attempts to avoid litigation with several companies were sadly unsuccessful. Net MoneyIN would prefer to license its technology, rather than engage in litigation."
Net MoneyIN is a privately held company in Arizona.
For further information, please contact Wayne Rod of Net MoneyIN Inc., +1-520-349-3207. |
