Trade commission upholds patent claims

Power Integrations has won a favourable decision in its patent-infringement case against System General Corp (SG), filed last year with the US International Trade Commission (ITC).

Power Integrations has won a favourable decision in its patent-infringement case against System General Corp (SG), filed last year with the US International Trade Commission (ITC).

The administrative law judge hearing the case has ruled that certain of SG's power-supply controllers infringe Power Integrations US Patents 6,351,398 and 6,538,908, and that SG is therefore in violation of section 337 of the Tariff Act of 1930.

All claims of the two Power Integrations patents asserted at trial were upheld by the judge.

In conjunction with his decision, the judge has recommended that the ITC issue an exclusion order against SG's infringing products, and against LCD monitors and AC printer adapters containing the infringing parts.

The exclusion order would prohibit the importation of these products into the USA.

If the ITC adopts the judge's decision, SG must pay a bond of 38 cents for each imported infringing chip and each imported product containing an infringing chip during the subsequent period of Presidential review.

Power Integrations believes that the infringing chips, which include the SG6840, SG6841, SG6841x3, SG6842, SG6842J and SG6843, represent a significant percentage of SG's sales.

"Intellectual property is the lifeblood of our business, and we are gratified that our patents have been upheld in this investigation", said Balu Balakrishnan, President and CEO of Power Integrations.

"This decision is an unmitigated victory for Power Integrations, one that will help remove the burden of unfair competition from the marketplace.

"Because the ruling so fully confirms the merits of our position, we believe that any appeal by SG would have very little chance of success", continued Balakrishnan.

Power Integrations filed its complaint with the ITC in May 2005.

Earlier, in June 2004, the company had filed a patent-infringement lawsuit against SG in the Federal District Court in San Francisco.

In that lawsuit, which has been stayed pending the final decision of the ITC, the company will seek an injunction against all SG products that infringe Power Integrations patents, including SG6848 and SG6849, as well as newer parts not subject to the ITC decision.

Power Integrations is also seeking financial damages in the San Francisco case.

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