Brocade Awarded a New Permanent Injunction for Trade Secret Theft Against A10 Networks

Brocade Awarded a New Permanent Injunction for Trade Secret Theft Against A10 
Networks 
A10 Prohibited of Any Further Sales of Products That Use Brocade
Trade Secrets or Infringe on Brocade Patents 
SAN JOSE, CA -- (Marketwire) -- 02/13/13 --  Brocade (NASDAQ: BRCD)
today announced that a San Jose federal court denied A10 Networks'
request to stay a new permanent injunction originally issued on Jan.
23, 2013, barring A10 from using four Brocade trade secrets a jury
found A10 stole and incorporated in its AX series products. This
order followed previous rulings for a permanent injunction for patent
infringement as well as $60 million in damages for copyright
infringement.  
As a result, A10 is now prohibited from "making, using, selling,
offering to sell, or importing any AX series application delivery
controller" that uses Brocade's trade secrets or infringes on
Brocade's patents.  
On Aug. 6, 2012, a jury in the case of Brocade v. A10 Networks found
for Brocade on four claims of patent infringement involving
technologies for Global Server Load Balancing and High Availability
and found that the A10 AX Series line of load balancers infringe on
these specific patents. In addition, the jury found A10 liable for: 


 
--  Direct copying of proprietary Brocade code used in Brocade's
    ServerIron products for use in A10 products.
--  Misappropriation of four trade secrets involving techniques used in
    the Brocade ServerIron products that A10 applied for use in its AX
    series.
--  Unfair competition based on interference with the contract of an
    engineer while he was employed at Foundry Networks, which Brocade
    acquired in late 2008.

  
On Jan. 10, 2013, the Court issued a permanent injunction against A10
permanently enjoining A10 from infringing on Brocade's patents while
confirming all liability findings by the jury against A10 as well as
the $60 million in damages for copyright infringement. On Jan. 23,
2013, the Court issued a new permanent injunction for trade secret
misappropriation, "enjoining further possession and use of the
misappropriated trade secrets." In separate rulings on Jan. 11 and
Feb. 12, 2013, the Court denied A10's requests to stay the patent and
trade secret permanent injunctions, respectively, thereby 
putting
them into effect immediately. 
"This is a clear and decisive victory for Brocade covering a broad
range of intellectual property theft by A10. We are very pleased with
these rulings and we are again appreciative of the Court's careful
attention to the evidence and its willingness to enforce intellectual
property rights," said Tyler Wall, vice president and general counsel
at Brocade. 
Cautionary Statement
 This press release contains statements that are
forward-looking in nature, including statements regarding A10's
potential liabilities to Brocade. These statements are based on
current expectations on the date of this press release and involve a
number of risks. The risks include, but are not limited to, A10's
solvency or potential insolvency and ability to satisfy any final
judgment, further jury trial on damages issues and further judicial
review of the matter. Certain of these and other risks are set forth
in more detail in our Form 10-K for the year ended October 27, 2012
in "Item 1A. Risk Factors". Brocade does not assume any obligation to
update or revise any such forward-looking statements, whether as the
result of new developments or otherwise. 
About Brocade
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Notice: This document is for informational purposes only and does not
set forth any warranty, expressed or implied, concerning any
equipment, equipment feature, or service offered or to be offered by
Brocade. Brocade reserves the right to make changes to this document
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CONTACTS
Media Relations - Brocade
John Noh
Tel: 408.333.5108
jnoh@brocade.com 
Investor Relations - Brocade
Robert Eggers
Tel: 408.333.8797
reggers@brocade.com 
 
 
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