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Dataproducts Settles Suit Over Patent Infringement

December 08, 1987

Dataproducts will collect at least $5 million over the next three years from Howtek Inc. as part of an out-of-court settlement of a patent-infringement suit brought by Dataproducts.

Dataproducts, a maker of computer printers based in Woodland Hills, filed suit with the U. S. International Trade Commission in December, 1986, alleging that Howtek was making an ink-jet printer that infringed on Dataproducts patents.

Also named as a defendant was Tokyo Juki Industrial Co., a Japanese firm that supplied components to Howtek, a printer manufacturer based in Hudson, N.H.

Under the settlement, Howtek will pay $2 million to Dataproducts and become licensed to use the technology patented by Dataproducts. Howtek, as a licensee, will then pay royalties of at least $3 million to Dataproducts over the next three years.

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