Even though a jury in the Western District of Texas recently found Lyft infringed a patent and owes damages, the rideshare company is hailing the result as a victory.
The jury awarded damages Thursday of $1.05 million as a lump sum to Quartz Auto Technologies. Quartz had alleged in its lawsuit that Lyft infringed five of its patents, but by the time the case made it to the jury, only one infringement claim remained.
“Patent holders often believe that accused infringers will eventually settle because the math of litigation feels impossible. We made sure that math worked differently here,” Roger Fulghum, who led the Baker Botts trial team, said in a news release. “Four patents were gone before trial, and the lump sum verdict on the last one gives Lyft real finality. That’s what this team built toward from the beginning.”
In a news release, Baker Botts said the damages award, handed down after a five-day trial before U.S. District Judge Alan Albright, represents less than 0.5% of what Quartz was seeking.
The firm secured the dismissal of one patent for improper venue. It then obtained judgment on the pleadings for three patents, which Judge Albright held were based on abstract ideas that were not patentable.
Quartz alleged that the remaining patent was infringed by Lyft’s Smart Trip Check-In feature, a safety measure that monitors rides in real-time.
Lyft and Quartz Auto have a litigation history.
To fight Quartz Auto’s allegations, Lyft filed a 2021 declaratory judgment action in the Northern District of California. The Baker Botts’ team eliminated four challenged patents, a win that was upheld by the Federal Circuit.
Quartz Auto filed its motion for an injunction last night.
Quartz is represented by Jon A. Birmingham, Mary F. Fetsco and Jacqueline Thompson of Fitch, Even, Tabin & Flannery, Andrew Strabone, Erick Franklund, Jason G. Sheasby, Michael M. Rosen and Nora Chestney of Irell & Manella and Massimo Ciccarelli of Ciccarelli Law Firm.
Baker Botts lawyers Jeremy Taylor, Lauren Dreyer, Katherine Burgess, Nick Baniel, Nolan McQueen, Kira Gill, Billy Ellis, Danny David, and Scott Powers also represented Lyft.
The case is Quartz Auto Technologies LLC v. Lyft, Inc.,1:20-cv-00719.