VirnetX Receives US Court of Appeals Decision

Rhea-AI Summary

VirnetX Holding Corporation (NYSE: VHC) announced that the United States Court of Appeals for the Federal Circuit upheld the Patent Trial and Appeal Board's decision, declaring claims of U.S. Patent Nos. 6,502,135 and 7,490,151 unpatentable. CEO Kendall Larsen expressed disappointment with the ruling, stating the company may seek further legal recourse. Despite these challenges, VirnetX confirmed that its $1.00 Special Cash Dividend per share remains unaffected by any litigation outcomes.

Positive

• $1.00 Special Cash Dividend per share remains intact

Negative

• Federal Circuit affirmed unpatentability of key patent claims
• Potential need for rehearing or certiorari review indicates ongoing legal challenges

$1.00 Special Dividend Remains Intact

ZEPHYR COVE, Nev., March 30, 2023 /PRNewswire/ -- VirnetX Holding Corporation (NYSE: VHC) an Internet security software and technology company, announced today that the United States Court of Appeals for the Federal Circuit issued a decision in appeals No. 2020-2271 and 2020-2272 involving certain claims of U.S. Patent Nos. 6,502,135 and 7,490,151. The Federal Circuit affirmed the decisions by the Patent Trial and Appeal Board in two inter partes review proceedings (IPR2015-01046 and IPR2015-01047), which found claims 1, 3, 4, 7, 8, 10, and 12 of the '135 patent and claims 1, 2, 6-8, and 12-14 of the '151 patent to be unpatentable.

"We are disappointed and disagree with the Federal Circuit's decisions in light of its past rulings on these same patents," said Kendall Larsen, VirnetX CEO and President. "We are evaluating all of our available options, including potentially seeking rehearing or certiorari review."

The VirnetX announcement today of a Special Cash Dividend of $1.00 Per Share remains intact regardless of litigation outcomes.

View original content:https://www.prnewswire.com/news-releases/virnetx-receives-us-court-of-appeals-decision-301786389.html

SOURCE VirnetX Holding Corporation

FAQ

What was the recent court decision regarding VirnetX (VHC) patents?

The U.S. Court of Appeals upheld previous rulings declaring significant claims of VirnetX's patents unpatentable.

How does the court ruling impact VirnetX's dividend?

VirnetX confirmed that its $1.00 Special Cash Dividend per share will remain unchanged despite the court ruling.

What options is VirnetX considering after the court ruling?

VirnetX is evaluating options including potentially seeking rehearing or certiorari review following the court's decisions.

When was the court decision announced for VirnetX (VHC)?

The court decision was announced on March 30, 2023.