US firm suing Cochlear vows to keep fighting

“They think they can delay long enough to bleed us out.”

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AMF had taken Sydney-based Cochlear to court over a number of patent infringements – which have expired since the case began – that helped generate about $US1.8 billion in revenues for the Australian firm.

The patents relate to processes for transmitting sound.

The US firm has already been awarded about  $US130 million in damages, however, Cochlear has consistently fought against the judgment.

At the most recent hearing, the judge lashed Cochlear, criticising its “kitchen sink approach” to the case and called for the doubling of jury-awarded damages to about $US268 million.

“While the jury’s $US130 million verdict is significant and may sound large in the abstract, it may not be enough without enhancement to deter infringing conduct given the context of this case,” the judge said.

Mr Petrovich said AMF “could hardly have had stronger statements from the judge. He made numerous critical comments on nearly every point of their case”.

“The court and juries have recognised the injustice that’s been done to us. Cochlear is the type of egregious infringer that Congress had in mind when they made these laws.”

Cochlear declined to respond to AMF’s comments, but  reiterated it would continue to appeal  the case.

“We will continue to defend the case and we will appeal to the US Court of Appeals, with the timing of an appeal outcome expected in approximately two years,” a Cochlear spokeswoman said.

Cochlear has committed to lodging a $US335 million insurance bond to secure the right to appeal the case again, however, Mr Petrovich said Cochlear would fail if it tried to reverse the damages liability.

“Cochlear have not said it but there is an inference in some of the press that they can make it all go away on appeal, but nothing is further from the truth.

“They can’t deal their way out of this, we’re fully committed to seeing this through.

“There will be an ultimate day of reckoning for them.”