With Trade Panel Ruling, Overland Storage Moves Ahead With Patent Lawsuits

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Dan Nickel, president of PivotStor, said he has yet to be served the papers related to the lawsuit one month after Overland Storage said it was suing his company.

"It's interesting how a company can put out a press release about a lawsuit without filing the lawsuit or serving us papers," Nickel said. "I'm kind of pissed. We read the press, we get a lot of calls about it. We're not violating the patent."

Molly Rector, executive vice president of product management and worldwide marketing at Spectra Logic, said her company only received the lawsuit papers this week, and so it has not had any response to the lawsuit until now.

"For us, its more of a nagging annoyance than a concern," Rector said. "We have a large patent portfolio, and will respect any patents Overland has."

Rector said the timing of lawsuit seems to be aimed more at investors in Overland.

"Overland is a struggling company," she said. "They've been grasping. It's interesting that this is clearly something they want to get in front of investors. The timing of them talking about it before serving the lawsuit is for getting it in front of investors."

Spectra Logic will aggressively defend itself against unwarranted charges, Rector said. "But at this point, we haven't seen enough to see if the charges are warranted."

Qualstar responded to a request for more information from CRN by saying that it was served the lawsuit papers only last week, and that it is declining to comment at this time.

A Tandberg spokesperson said that company was waiting to hear from its European corporate office before responding. A Quantum spokesperson said Quantum is not commenting on the case as it was sued separately and so is not a part of the ITC case. BDT did not respond to a request for more information.

Overland Storage was unable to comment by press time on Friday. However, the company is planning an investor's conference call on Tuesday to discuss the ongoing litigation.

When Overland Storage in late June initially announced the lawsuits, there was also a second patent referenced by the company. That patent, patent number 6,353,581, describes a method for users to securely import or export individual data cartridges within a tape library without impacting the security or other operations of the library.

Overland Storage did not mention the '581 patent in Friday's notification about the ITC's initial determination report.

NEXT: Overland Engages High-powered Law Firm

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