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USVO-Movielink patent spat moves to appeal phase

Fri, 06/09/2006 - 7:00am
Jeff Baumgartner, CED

USA Video Technology Corp. (USVO) and Movielink LLC have headed to the appeal stage in a case related to a USVO patent describing technology used to power video-on-demand applications.

In late January 2005, a Delaware court ruled that the studio-backed Movielink Internet download/rental service did not infringe the USVO patent in question (No. 5,130,792), which describes a "system and method for a user to request, and have delivered over a network, a digitized video program." USVO said the U.S. Patent and Trademark Office issued the patent on July 14, 1992.

USVO and Movielink appeared earlier this week before the Federal Circuit Court of Appeals in Washington, D.C. In its appeal, USVO is seeking "fair compensation and an injunction" against Movielink, which USVO alleges has infringed and continues to infringe on the '792 patent.

Movielink is a joint venture of MGM Studios, Paramount Pictures, Sony Pictures Entertainment, Universal Studios and Warner Bros. In addition to movie rentals, the service recently introduced an option that allows users to download and own titles electronically and to back them up on disk.

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