Reed & Scardino Helps Tech Company Secure $23.6 Million against Apple

Austin’s Reed & Scardino LLP recently helped Mobile Telecommunications Technologies (MTel) secure a $23.6 Million jury award against Apple, Inc.

Representing the firm in the litigation in U.S. Federal Court in the Eastern District of Texas in Marshall, Texas was Daniel Scardino and Ray Mort of Reed & Scardino LLP.



The case involved six patents developed in conjunction with the launch in 1995 of the first nationwide two-way wireless data network (dubbed SkyTel 2-way).  The SkyTel network received one of only a handful of “Pioneer Preference” awards form the Federal Communications Commission in 1993 for technological innovation.

MTel is the licensing arm of parent company United Wireless, which bought the SkyTel network in 2008.  The SkyTel network remains in use today primarily by first responders and the medical personnel.

At trial, Apple argued that MTel’s technology was just for “old pagers,” but MTel was able to prove through the testimony of inventors and experts that “paging” as used in the industry meant wireless data services.  Apple’s own experts ultimately conceded that the patented technology at issue in the case was not limited to use with pagers or on paging networks.  MTel argued that when Apple changed its name in January 2007 from Apple Computer, Inc. to Apple, Inc. on the same day it launched the iPhone, it signaled a new direction at Apple to focus on wireless mobile devices, and Apple used MTel’s wireless messaging technology to do it.

This successful jury verdict is the second one this year by the patent litigation group at Reed & Scardino.  In June another federal jury returned an $18.8 million verdict in favor of Reed & Scardino client EON Corporation against Silver Spring Networks, Inc.

“Our team effectively demonstrated the use of MTel’s foundational wireless messaging technology in Apple’s products,” said Daniel Scardino. “We were representing a small but highly regarded pioneer in the industry against the biggest corporation in the world.  We are very pleased with the outcome for MTel.”

The other Reed & Scardino lawyers on the case were Cary Ferchill, Henning Schmidt, Anthony Seach, Nick Wyss, Dustin Taylor, Kyle Harter, Craig Jepson, and Debra Dennett.

Also representing MTel was Deron Dacus of The Dacus Firm, PC in Tyler.


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