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- Zoom decided not to renew resale deal with RingCentral
- RingCentral asked court to keep Zoom from cutting off service
(Reuters) - Zoom Video Communications Inc and RingCentral Inc have settled a court dispute over RingCentral's continued use of Zoom's videoconferencing technology after Zoom decided not to renew their partnership.
A joint Monday press release said the companies had resolved the case in California federal court and will "continue to work together" while cloud-communications provider RingCentral transitions to a new video-meeting service. A San Jose, California federal court filing on Sunday said that they had settled the case.
RingCentral chief administrative officer John Marlow said in the press release that "RingCentral Meetings" customers would be "fully supported" during the transition.
Zoom's general counsel Jeff True said in the release that the company was "pleased to have resolved this matter in a way that allows the parties to continue the wind down of their partnership."
San Jose, California-based Zoom sued RingCentral last year after declining to renew an agreement that allowed RingCentral to resell Zoom's service as "RingCentral Meetings."
It argued the company was "dangling Zoom in front of potential customers to lure them into signing multi-year contracts" despite the end of their deal, and asked for an undisclosed amount of money damages and to block RingCentral from using its trademarks.
Belmont, California-based RingCentral responded that their agreement had not ended yet, and said Zoom was trying to scare RingCentral customers into abandoning it and signing with Zoom instead. It asked the court for an order to keep Zoom from cutting off access for new RingCentral customers.
U.S. District Judge Edward Davila rejected RingCentral's request, and the 9th U.S. Circuit Court of Appeals upheld his decision in October.
The companies and their attorneys didn't immediately respond to requests for more information on Tuesday.
The case is Zoom Video Communications Inc v. RingCentral Inc, U.S. District Court for the Northern District of California, No. 5:21-cv-01727.
For Zoom: Douglas Lumish of Latham & Watkins
For RingCentral: Brad Karp, Melinda Haag, and Walter Brown of Paul, Weiss, Rifkind, Wharton & Garrison; Clement Roberts of Orrick, Herrington & Sutcliffe
(NOTE: This story has been updated with additional attorney information for RingCentral.)
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