Markforged has announced it is hoping to overturn the verdict reached by a U.S. District Court for the District of Delaware jury in its patent lawsuit with Continuous Composites.
The jury returned a verdict against Markforged, with the company ordered to pay Continuous Composited $17.34 million after finding that Markforged infringed on Continuous Composites’ foundational patent, U.S. Patent 11,173,660.
According to a Continuous Composites press release, the jury awarded the $17.34 Million in past damages for sales of the infringing Markforged products from November 16, 2021 through December 31, 2023. In post-trial proceedings, Continuous
Continuous Composites filed a patent-infringement lawsuit against Markforged in July 2021, with four patents and 20 patent claims eliminated from the lawsuit in April 2023 to leave one patent and two patent claims. One of these remaining claims was deemed 'invalid or not infringed' by the jury, but it did find that Markforged had infringed on the other patent claim, awarding monetary damages to Continuous Composites.
A Markforged press release communicating this finding has stated that while it 'cannot predict what additional action Continuous Composites may take, it is possible that they may seek additional relief through post-trial motions for royalty payments on future revenue.' Markforged has said any such royalty payments could 'materially impact the Company's business and operations.' Continuous Composites has since confirmed it will ask the court to set a rate for ongoing royalties for Markforged’s infringement by sales of infringing printers from 2024 through 2033.
“We are thankful for the jury’s diligence in recognising Markforged’s infringement and our prior rights to Continuous Composites’ foundational patents. It confirms the value of our technology that the team has been working hard on since 2012, and we are committed to protecting our patents from those who wrongfully use them,” said Steve Starner, CEO at Continuous Composites.
Markforged is currently working to regain compliance with the New York Stock Exchange's Listed Companies Manual after its share price dipped below the 1.00 USD threshold for 30 consecutive trading days.
In its communications this week, Markforged has also stated it strongly disagrees with the jury's verdict and will seek to overturn it in post-trial motions with the District Court.
