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TORONTO, ONTARIO and LAS VEGAS, NEVADA--(Marketwired - Mar 30, 2016) - NRT Technology Corp. of Toronto, Canada, and its U.S. operating entity - NRT Technologies, Inc. of Las Vegas, Nevada - scored two significant legal victories this past week against Everi Holdings Inc. (formerly known as Global Cash Access). These triumphs are both part of ongoing patent disputes before the International Trade Commission (ITC) in Washington, D.C. and in the United States District Court for Nevada. In both of these disputes, Everi accused NRT of infringing its U.S. patent number 6,081,792 with respect to certain functionalities purportedly found in NRT's industry leading ticket redemption and payment kiosks. NRT's kiosks can be found in premier gaming establishments throughout the United States and the world.
At the ITC, NRT prevailed on a motion for summary determination whereby the Administrative Law Judge found "no genuine issue as to any material fact" and that the asserted claims of the Everi '792 Patent were indefinite and therefore invalid. The Office of Unfair Import Investigation-an office within the ITC that helps ensure that investigations are fully developed-agreed with NRT that summary determination was appropriate. The Everi '792 Patent, according to the ITC's order, fails to "inform those skilled in the art about the scope of the invention with reasonable certainty" and lacks any "objective boundaries." As a result, the ITC order found, the claims of the Everi '792 Patent could "mean several different things" with "no informed and confident choice . . . among the contending definitions."
"We are extremely pleased with the outcome at the ITC," said Jin Shin, General Counsel for NRT. "NRT has the utmost respect for the intellectual property rights of third-parties when those rights are properly awarded. NRT made it clear to Everi-from the outset of this proceeding-that the Everi '792 Patent was improperly granted and therefore invalid. It is basic patent law that you cannot infringe an invalid patent. It is unfortunate for Everi's stockholders and investors that Everi chose to enforce this clearly invalid patent despite our admonitions to the contrary."
NRT also prevailed against Everi's patent claims in a co-pending proceeding in the Nevada federal court system. There, the United States District Court reiterated the legal prohibition against patenting "abstract ideas" as to do otherwise would "undermine, not promote future innovation." Taking cue from the very words of the Everi '792 Patent, the Court found Everi to be attempting to claim exclusivity to "ubiquitous practices that existed before the patent was filed" in addition to other "well-established processes for obtaining cash from a bank account." Because the Everi '792 Patent is "directed at the abstract idea of using an alternative transaction to obtain cash or another item of value from a bank account after a first transaction fails, and because the claims lack an inventive concept," the Court found the Everi '792 Patent "patent-ineligible" and dismissed Everi's patent claims against NRT.
Of particular note in the Nevada proceeding was that the Court took the United States Patent Office to task in its refusal to revoke the '792 Patent. The District Court questioned the Patent Office's failure to find that the '792 Patent was nothing more than a method of "providing money to an account holder or using trial-and-error until success is achieved." The Court agreed with NRT's characterization, made to the Patent Office, that the '792 Patent concerned "offering an account-holder an alternative way to obtain cash or something of value i.e., when the first transaction is denied, offering to perform a second type of transaction to achieve the same results."
Michael Dominelli, Vice President of Marketing at NRT, welcomed the District Court decision on Everi's '792 Patent claims. "With this aspect of the litigation now behind us, we can continue to focus on our innovative product suite that provides casino operators with sophisticated products and services which are adaptable and allow for innovation and evolution in the future. NRT can return to improving on its integrated platform of solutions, which we hope will drive incremental customer revenue, operational efficiencies, improved patron visibility, and enhanced customer service."
The International Trade Commission matter is investigation number 337-TA-958: In the Matter of Certain Automated Teller Machines and Point of Sale Devices and Associated Software Thereof. The Nevada District Court matter is Global Cash Access, Inc. v. NRT Technology Corp et al, 2:15-cv-00822-MMD-GWF.
NRT Technology Corp. (NRT) provides the most innovative payment processing, cash handling and cash management products, services and solutions in the casino industry. NRT's world-class payment processing (cash access) solution connects to all financial institutions, giving your casino guests instant access to ATM, credit card cash advance, POS Debit, Dynamic Currency Conversion and Check Cashing Services at the cage and kiosk, all in one fully integrated package. NRT also provides turnkey applications for jackpot redemption, ticket redemption as well as other cash handling related applications. Our products are used around the globe by Casinos, Lotteries & Retailers. Visit www.nrttech.com
NRT Technology Corp.
V.P Marketing, Sales
416.646.5232 x 4248