Research In Motion UK Ltd v Visto Corporation

Research In Motion UK Ltd v Visto Corporation

RIM’s costs were disproportionate to the issues and commercial value at stake. The court declined to cap RIM’s costs at Visto’s level but ordered that RIM recover only 66% of its assessed costs and pay Visto 51% of Visto’s assessed costs. The costs judge is directed to allow only necessary and reasonable items. No interim payment is ordered due to the disproportionate nature of RIM’s costs.

Parties
Claimant and Part 20 Defendants: Research In Motion UK Limited; Defendant and Part 20 Claimant: Visto Corporation; Part 20 Defendant: Research In Motion Limited
Jurisdiction
England and Wales
Judgment Date
17 April 2008
Procedural Posture
Patent Litigation (costs Judgment) / Post Trial Costs Determination
Outcome
Costs order: RIM to recover 66% of its assessed costs; RIM to pay Visto 51% of Visto’s assessed costs; no interim payment ordered.
Legal Topics
Patent Validity, Patent Infringement, Costs Orders, Proportionality in Costs, Issue Based Costs
Intellectual Property Civil Procedure Patent Validity Patent Infringement Costs Orders Proportionality in Costs Issue Based Costs

Case Brief

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Parties

Research In Motion UK Limited

Claimant and Part 20 Defendants

Visto Corporation

Defendant and Part 20 Claimant

Research In Motion Limited

Part 20 Defendant

Procedural Posture

Patent Litigation (costs Judgment) / Post Trial Costs Determination

Legal Issues

  1. 1 What costs order is appropriate following the trial on validity and infringement of Visto’s 905 patent?
  2. 2 Should RIM’s costs be reduced or capped due to disproportionality?
  3. 3 Should Visto recover its costs on certain issues despite overall losing?

Ratio Decidendi

RIM’s costs were disproportionate to the issues and commercial value at stake. The court declined to cap RIM’s costs at Visto’s level but ordered that RIM recover only 66% of its assessed costs and pay Visto 51% of Visto’s assessed costs. The costs judge is directed to allow only necessary and reasonable items. No interim payment is ordered due to the disproportionate nature of RIM’s costs.

Court Disposition

Costs order: RIM to recover 66% of its assessed costs; RIM to pay Visto 51% of Visto’s assessed costs; no interim payment ordered.

Orders

  • Visto to pay RIM 66% of RIM’s total assessed costs on all three patents.
  • RIM to pay Visto 51% of Visto’s total assessed costs expended on all three patents.