Washington AG information lawsuit saying ‘patent troll’ focused small companies – KIRO 7 Information Seattle

OLYMPIA, Washington – Washington Attorney General Bob Ferguson filed a lawsuit against Landmark Technology A.

Patent trolls harass and threaten small businesses with patent infringement claims.

The AG’s office said the company’s business model is based solely on demanding royalties from other companies, citing a legally questionable patent.

The lawsuit alleges that Landmark sent misleading letters to more than 1,000 companies in the United States that threatened legal action if the company hadn’t paid $ 65,000 to license the patent.

“Landmark is blackmailing small businesses and charging for websites that are essential to running a business,” said Ferguson. “It puts them in a corner – pay now or get buried in legal fees.”

When five small Washington businesses refused to pay, Landmark sued them. The companies settled on $ 15,000-20,000 each to avoid a lengthy and costly lawsuit. The companies were a bakery, bookseller and bottle maker in Seattle and an electricity company in Spokane.

Other Washington companies may have paid the $ 65,000 fee. The attorney general said the lawsuit will determine exactly how much the target companies paid.

In the letters, Landmark says it has rights to a vaguely worded patent related to loan processing and reporting. In 2014, the U.S. Patent and Trademark Office determined that the patent is likely to be invalidated.

Landmark targets corporate websites such as small business home pages, customer login pages, new customer registration pages, and product order pages and claims they are infringing their patent rights, according to the Ferguson office.

Ferguson’s lawsuit requires Landmark to bear all costs incurred by the companies in connection with Landmark’s lawsuits and inquiries.