• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

Microsoft AI chief gives it 18 months—for all white-collar work to be automated by AI

2

Former top Russian official admits the country is over Putin and can 'imagine a future without him' — even elites bail as Kremlin seizes their assets 

3

The Bezos family just donated $100 million to help achieve one of Mayor Zohran Mamdani’s top campaign promises

1

Microsoft AI chief gives it 18 months—for all white-collar work to be automated by AI

2

Former top Russian official admits the country is over Putin and can 'imagine a future without him' — even elites bail as Kremlin seizes their assets 

3

The Bezos family just donated $100 million to help achieve one of Mayor Zohran Mamdani’s top campaign promises

The baffling claim against Facebook

By
Dan Mitchell
Dan Mitchell
Down Arrow Button Icon
By
Dan Mitchell
Dan Mitchell
Down Arrow Button Icon
September 17, 2012, 1:39 PM ET

FORTUNE — Eolas Technologies and the University of California filed a lawsuit this week against Facebook (FB), Wal-Mart (WMT), and Disney (DIS), apparently based in part on a patent that a court had previously ruled Eolas could no longer use to claim infringement.

Eolas spent most of the 2000s suing Microsoft (MSFT) in an ultimately successful patent complaint. (Microsoft settled in 2007.) Then it sued a multitude of companies including Google (GOOG), Yahoo (YHOO), Amazon (AMZN), J.C. Penney (JCP), Perot Systems, Blockbuster, eBay (EBAY), Citigroup (C) and several others. Most settled, but Google, Yahoo, Amazon and J.C. Penney stayed firm and ultimately beat back the lawsuit.

The term “patent troll” might sound derogatory, but Eolas pretty much fits the commonly understood definition. It developed some technologies for interactive Web processes back in the early 90s and since then has spent most of its time and money filing patent lawsuits based on those technologies. The idea is to file lawsuits and hope companies will either agree to license the technologies or pay a settlement. Because of the time and money involved in defending lawsuits, many companies simply cave, whether or not they feel the claims have merit.

MORE: An audience with the King of the Patent Trolls

The new lawsuit claims that the three companies are infringing on four patents on technologies enabling interactivity and embedding of media. Eolas was founded to protect patents on technologies Doyle and others had developed at the University of California, San Francisco. The university issued a statement that it “should be paid a fair value when a third party exploits [a] university asset for profit.” A Facebook spokesman told Reuters the lawsuit is without merit and the company “will right it vigorously.” Eolas has not yet replied to a request for comment by Fortune.com.

A Texas jury in February declared two of the four patents invalid in February. That led TechDirt’s Michael Masnick to proclaim: “The Web is saved.” Not quite yet, apparently. It’s unclear why Eolas and the University are nevertheless filing a lawsuit based in part on patents that have been ruled invalid.

About the Author
By Dan Mitchell
See full bioRight Arrow Button Icon

Latest in

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in

Four crew members ejected safely after two Navy jets collide and crash during air show in Idaho
North AmericaMilitary
Four crew members ejected safely after two Navy jets collide and crash during air show in Idaho
By The Associated PressMay 17, 2026
1 hour ago
Gundlach says it’s ‘just not possible’ for the Fed to cut rates
EconomyFederal Reserve
Gundlach says it’s ‘just not possible’ for the Fed to cut rates
By Jordan Fitzgerald, Sam Kim and BloombergMay 17, 2026
2 hours ago
Supply shocks weren’t random. They were strategic—and should be seen as ‘supply coercion’ instead, former Fed official says 
Economysupply chains
Supply shocks weren’t random. They were strategic—and should be seen as ‘supply coercion’ instead, former Fed official says 
By Jason MaMay 17, 2026
2 hours ago
U.S. says China to buy $17 billion of agricultural goods annually
EconomyChina
U.S. says China to buy $17 billion of agricultural goods annually
By Yash Roy and BloombergMay 17, 2026
4 hours ago
Taiwan’s president says the U.S. arms sales that Trump called a bargaining chip with China are ‘the most important deterrent’ of regional conflict
AsiaChina
Taiwan’s president says the U.S. arms sales that Trump called a bargaining chip with China are ‘the most important deterrent’ of regional conflict
By The Associated PressMay 17, 2026
4 hours ago
WHO declares latest Ebola outbreak a global health emergency. A rare variant of the disease with no approved treatments is to blame
HealthHealth
WHO declares latest Ebola outbreak a global health emergency. A rare variant of the disease with no approved treatments is to blame
By Chinedu Asadu and The Associated PressMay 17, 2026
4 hours ago

Most Popular

Microsoft AI chief gives it 18 months—for all white-collar work to be automated by AI
AI
Microsoft AI chief gives it 18 months—for all white-collar work to be automated by AI
By Jake AngeloMay 16, 2026
1 day ago
Former top Russian official admits the country is over Putin and can 'imagine a future without him' — even elites bail as Kremlin seizes their assets 
Politics
Former top Russian official admits the country is over Putin and can 'imagine a future without him' — even elites bail as Kremlin seizes their assets 
By Jason MaMay 16, 2026
1 day ago
The Bezos family just donated $100 million to help achieve one of Mayor Zohran Mamdani’s top campaign promises
Politics
The Bezos family just donated $100 million to help achieve one of Mayor Zohran Mamdani’s top campaign promises
By Jake AngeloMay 12, 2026
5 days ago
SpaceX heads into a record-shattering IPO with the 'deepest moat that exists today' as investors vow to 'never bet against Elon'
Innovation
SpaceX heads into a record-shattering IPO with the 'deepest moat that exists today' as investors vow to 'never bet against Elon'
By Jason MaMay 16, 2026
1 day ago
Oil markets could be a month away from the moment of truth. Brace for a 'non-linear' price spike and panic buying, analysts warn
Energy
Oil markets could be a month away from the moment of truth. Brace for a 'non-linear' price spike and panic buying, analysts warn
By Jason MaMay 16, 2026
1 day ago
'No one was coming to save me': How Reese Witherspoon built a $900 million company from a problem Hollywood wouldn't fix
Success
'No one was coming to save me': How Reese Witherspoon built a $900 million company from a problem Hollywood wouldn't fix
By Sydney LakeMay 17, 2026
12 hours ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.