--Court credits SK Hynix $250 million for Rambus's destruction
of documents
--SK Hynix plans to appeal the ruling
--SK Hynix believes Rambus's patents no longer valid or
enforceable
(Updates with comments from SK Hynix.)
By Melodie Warner
Rambus Inc. (RMBS) said a U.S. federal court affirmed previous
patent-infringement rulings against SK Hynix Inc. (HXSCF,
000660.SE), but the South Korean chip maker has vowed to appeal the
decision.
The battle in federal court in San Jose, Calif., over technology
used in chips known as dynamic random-access memory, or DRAMs,
began in 2000. Rambus developed technology used to accelerate
DRAMs, and began suing makers of the memory chips that didn't pay
to license its technology.
In 2009, a jury ruled that SK Hynix should pay Rambus $397
million. But in September 2012, District Judge Ronald M. Whyte
found that Rambus "willfully" destroyed documents related to the
long-running patent dispute, which was expected to lower the
royalties paid by SK Hynix.
Rambus on Thursday said the latest ruling concluded $250 million
should be applied as a credit against the judgment.
The ruling also applied an effective royalty rate of between
0.8% and 0.85% of sales.
SK Hynix said it plans to appeal the ruling to the Court of
Appeals for the Federal Circuit as it believes Rambus's patents are
not valid or enforceable as they have now expired.
The company also said it believes "Rambus Inc.'s bad faith
prejudicial destruction of evidence is, as other courts have found,
prohibiting Rambus from enforcing its patents."
Rambus shares were recently trading unchanged at $7.69.
Write to Melodie Warner at melodie.warner@dowjones.com
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