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LogMeIn Wins 01 Communique Patent Case on Remote Access

LogMeIn Inc. said it won a patent-infringement trial in a case brought by 01 Communique Laboratory Inc. over a way to provide remote access to a desktop computer.

A federal jury in Alexandria, Virginia, today found that LogMeIn products don’t infringe as asserted by 01 Communique, LogMeIn said in an e-mailed statement.

LogMeIn rose as much as 22 percent, to $21.74, before Nasdaq Stock Market trading was halted.

“This validates LogMeIn’s long-standing tradition of investing in the development of unique and innovative products,” Michael Simon, chief executive officer of LogMeIn, said in the statement. “We will continue to vigorously defend patent lawsuits.”

The trial was over technology that lets one computer access another remotely over the Internet. LogMeIn previously won the case after U.S. District Judge Claude Hilton said it didn’t infringe the patent. The case was revived last year by an appeals court.

LogMeIn, based in Woburn, Massachusetts, provides information-technology management services that allow people to work from any Internet-enabled device. The company reported $138.8 million in sales last year.

In its annual report, LogMeIn warned that losing the case “could prevent us from offering all or a portion of our services to customers” or cause it to pay ongoing licensing fees.

01 Communique reported $174,475 in revenue in the quarter ended Jan. 31. The company, based in Mississauga, Ontario, runs the “I’m InTouch” remote-access service.

It has an infringement case against Citrix Systems Inc. over the same patent. That case has been on hold for the past five years while the U.S. Patent and Trademark Office takes a second look at the validity of the patent.

The case is 01 Communique Laboratory Inc. v. LogMeIn Inc., 10cv1007, U.S. District Court for the Eastern District of Virginia (Alexandria).

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