UPDATE 1-ITC stays Tessera patent lawsuit, shares plunge
Feb 26 (Reuters) - Tessera Technologies Inc (TSRA.O) received an unfavorable ruling in a patent infringement case against chip makers Motorola Inc (MOT.N) and others, sending its shares to their lowest in more than three years.
An International Trade Commission judge stayed the company's patent infringement motion against Motorola Inc (MOT.N), Freescale Semiconductor Inc, Qualcomm Inc (QCOM.O) and others, pending a review by the U.S. Patent and Trademark Office.
Tessera, which licenses its chip packaging technology, said it will appeal the stay order.
The stay comes after the respondents filed a motion seeking to stop the ITC action in view of recent actions by the PTO related to the re-examination of three Tessera patents.
In the past week, the PTO rejected certain claims of three Tessera patents that are being asserted in pending legal actions, the company said in a statement.
Both Tessera and the ITC staff attorneys opposed the stay motion, in part because the re-examinations are not final and an issued patent is still presumed valid and enforceable during a re-examination proceeding.
Tessera's complaint was centered on computer chips used in mobile phones, computers and digital cameras that allegedly infringe its patents. It was seeking a ban on the importation of the infringing chips and products that contain them.
Shares of the company were down more than 29 percent at $25.88 in heavy late afternoon trade on Nasdaq. They touched a low of $22.15, their lowest is more than three years, earlier in the session. (Reporting by John Tilak in Bangalore; Editing by Himani Sarkar)
