Paltalk secures final judgment in Cisco case on October 8, 2024
- Paltalk, Inc. won a patent infringement lawsuit against Cisco Systems, Inc., with a jury awarding $65.7 million in damages.
- The final judgment was entered on October 8, 2024, confirming the jury's decision and starting the timeline for Cisco's potential appeals.
- Paltalk expects to receive significantly less than the awarded amount due to litigation-related expenses, highlighting the financial complexities of patent disputes.
On October 8, 2024, a final judgment was entered in the District Court for the Western District of Texas regarding a patent infringement lawsuit filed by Paltalk, Inc. against Cisco Systems, Inc. The lawsuit, initiated on July 23, 2021, alleged that certain Cisco products infringed upon U.S. Patent No. 6,683,858. Following a jury trial, Paltalk was awarded $65.7 million in damages on August 29, 2024. The judgment, signed by Judge Alan D. Albright, confirms the jury's award and initiates the timeline for any post-trial motions or appeals by Cisco. Paltalk, a company known for its online communication products, including ManyCam and Tinychat, has indicated that the actual amount it will receive from the award will be significantly reduced due to litigation-related expenses, including legal fees. The company estimates that it may only receive about one-third of the gross proceeds from the award after these deductions. The lawsuit highlights the ongoing legal battles in the technology sector over intellectual property rights, particularly as companies seek to protect their innovations from infringement. Paltalk holds eight issued U.S. patents and has expressed its commitment to vigorously defend its intellectual property. This case underscores the importance of patent protection in the tech industry and the potential financial implications for companies involved in such disputes. The outcome may influence future patent litigation strategies and the enforcement of intellectual property rights in the sector.