Marvell Hasn’t Recorded Liability for $1.17 Billion Patent Suit
Marvell Technology Group Ltd. (MRVL) hasn’t recorded any liability in its financial statements for a patent suit with Carnegie Mellon University, which was awarded $1.17 billion in penalties by a jury yesterday.
“In assessing the impact of this jury verdict on its financial statements, Marvell will review the verdict, evaluate the post-trial motions, and evaluate the likelihood of a successful appeal,” the company, which makes chips for computers and mobile phones, said today in a statement.
The jury ordered Marvell to pay the award for infringing Carnegie Mellon patents covering integrated circuits. The jury found Marvell’s infringement willful, providing a basis for U.S. District Judge Nora Barry Fischer to increase the award by as much as three times, according to a statement by K&L Gates LLP, the law firm representing the university.
Marvell shares tumbled 10 percent to $7.40 yesterday following the verdict in federal court in Pittsburgh.
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