[TheBagman]

RIM Provides Update on NTP Litigation

Waterloo, ON - The U.S. District Court for the Eastern District of Virginia (“District Court”) issued a ruling today in the patent litigation between Research In Motion Limited ("RIM") (Nasdaq: RIMM; TSX: RIM) and NTP, Inc. ("NTP"). The District Court ruled that the Term Sheet entered between the parties in March 2005 to settle the litigation was not an enforceable agreement. Other details of the ruling were filed under seal by the District Court, therefore RIM cannot comment further on the details of the decision. The District Court also denied RIM's motion to stay further proceedings in the case until the U.S. Patent & Trademark Office (“Patent Office”) reaches a final determination in its reexamination of the NTP patents. As a result of today’s rulings, further proceedings will continue in the District Court.

The District Court will set up a briefing schedule and hearing date at a later time for further proceedings in the case based on the remand from the U.S. Court of Appeals for the Federal Circuit (“Federal Circuit”). The Federal Circuit decision of August 2, 2005 vacated the injunction and damages award originally entered as a result of the District Court trial in 2002 and remanded the case to the District Court for further proceedings. The Federal Circuit decision also reversed or vacated the infringement finding on 9 of the 16 litigated patent claims.

As previously disclosed, RIM will file a request that the U.S. Supreme Court accept an appeal of the Federal Circuit’s August 2, 2005 decision in relation to its affirmation of infringement on 7 litigated patent claims. The process by which the Supreme Court will decide whether to hear the case is expected to occur over the next few months. While further review by the Supreme Court is generally uncommon, RIM continues to believe this case raises significant national and international issues warranting further appellate review.

During the upcoming proceedings, the District Court will be asked to decide a variety of matters relating to the litigation, including the impact of the Federal Circuit’s reversal of infringement findings on issues of liability and damages. RIM also expects NTP to ask the District Court to enter a new injunction prohibiting RIM from providing BlackBerry service and from using, selling, manufacturing or importing its handhelds and software in the United States. The District Court will schedule briefings and a hearing prior to deciding each of these matters. RIM maintains that an injunction is inappropriate given the specific facts of this case, including:

* the outright rejection of all NTP patent claims in rigorous initial Office Actions* already issued by the Patent Office;
* the fact that the Patent Office is expected to begin issuing its next Office Actions (which will take into account NTP’s responses to the initial Office Actions) in the coming weeks;
* RIM’s upcoming request for Supreme Court review;
* the Supreme Court’s November 28 decision to hear the appeal in the case of MercExchange v. eBay on questions relating to the propriety of injunctions in patent litigation; and
* public interest concerns relating to any potential suspension or interruption of BlackBerry service in the United States.

RIM believes these factors should hold significant weight in any decisions relating to an injunction, however it will ultimately be up to the courts to decide these matters and there can never be an assurance of a favorable outcome in any litigation.

As a contingency, RIM has also been preparing software workaround designs which it intends to implement if necessary to maintain the operation of BlackBerry services in the United States. Further details will be made available if such implementation becomes necessary.

RIM is reviewing any potential accounting implications of the latest developments and will provide a further update as soon as practicable.

* The rejections of NTP patents in the initial Office Actions issued by the Patent Office were based in part on prior art not considered in the District Court trial in 2002 and were derived through a recently improved Patent Office process whereby reexamination decisions now require thorough review and unanimous agreement from a panel of supervisors and senior patent examiners (see press release titled “USPTO IMPROVES PROCESS FOR REVIEWING PATENTS” at http://www.uspto.gov/web/offices/com...hes/05-38.htm).

About Research In Motion

Research In Motion is a leading designer, manufacturer and marketer of innovative wireless solutions for the worldwide mobile communications market. Through the development of integrated hardware, software and services that support multiple wireless network standards, RIM provides platforms and solutions for seamless access to time-sensitive information including email, phone, SMS messaging, Internet and intranet-based applications. RIM technology also enables a broad array of third party developers and manufacturers to enhance their products and services with wireless connectivity to data. RIM’s portfolio of award-winning products, services and embedded technologies are used by thousands of organizations around the world and include the BlackBerry® wireless platform, the RIM Wireless Handheld™ product line, software development tools, radio-modems and software/hardware licensing agreements. Founded in 1984 and based in Waterloo, Ontario, RIM operates offices in North America, Europe and Asia Pacific. RIM is listed on the Nasdaq Stock Market (Nasdaq: RIMM) and the Toronto Stock Exchange (TSX: RIM). For more information visit www.rim.com or www.blackberry.com.

The BlackBerry and RIM families of related marks, images and symbols are the exclusive properties and trademarks of Research In Motion Limited. RIM, Research In Motion and BlackBerry are registered with the U.S. Patent and Trademark Office and may be pending or registered in other countries. All other brands, product names, company names, trademarks and service marks are the properties of their respective owners.

This news release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 relating to RIM's plans and expectations regarding its dispute with NTP and its intention to implement a software workaround if necessary to maintain the operation of BlackBerry services in the United States. Forward- looking statements are based on estimates and assumptions made by RIM in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors that RIM believes are appropriate in the circumstances. Such forward-looking statements are subject to a number of risks and uncertainties, including, in particular, the inherent uncertainty regarding the outcome of any litigation, and the risks and uncertainties and potential outcomes that are described in the risk factors titled "The Company May Infringe on the Intellectual Property Rights of Others", “The Company may not be able to enhance its products or develop new products at competitive prices or in a timely manner”, “Defects in the Company’s products and services can be difficult to detect” and the other risks described in the "Risk Factors" section of RIM's Annual Information Form for fiscal 2005, which is included in its Annual Report on Form 40-F for fiscal 2005 (copies of which filings may be obtained at www.sedar.com or www.sec.gov). These factors should be considered carefully, and readers should not place undue reliance on RIM's forward-looking statements. RIM has no intention and undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

http://www.rim.com/news/press/2005/p..._2005-03.shtml
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Basically, RIM failed to abide by US patents. They will more than likely have to pay a big fine, and possibly be barred from selling thier products that violate US patent laws.

The Federal Circuit decision also reversed or vacated the infringement finding on 9 of the 16 litigated patent claims.

As previously disclosed, RIM will file a request that the U.S. Supreme Court accept an appeal of the Federal Circuit’s August 2, 2005 decision in relation to its affirmation of infringement on 7 litigated patent claims.

RIM also expects NTP to ask the District Court to enter a new injunction prohibiting RIM from providing BlackBerry service and from using, selling, manufacturing or importing its handhelds and software in the United States.

As a contingency, RIM has also been preparing software workaround designs which it intends to implement if necessary to maintain the operation of BlackBerry services in the United States. Further details will be made available if such implementation becomes necessary.

[gilligan]

at the risk of sounding like a moron, who is RIM?

[TheBagman]

Research In Motion, a Canadian company getting accused of violating US patents by selling their products in the US.

They make Blackberry devices, a handheld wireless email solution/wireless phone.

[smoke_the_dank]

They took our jobs!

[gilligan]

fuckin canadians