DataTreasury Wins Access to NCR Patent Portfolio

Article excerpt

DataTreasury Corp. has announced another patent licensing agreement, with the automated teller machine company NCR Corp.

The Melville, N.Y., item processing and archiving software vendor has claimed its patents are a crucial element of check image exchange systems, and has filed several infringement suits against major banking and technology companies.

DataTreasury has struck licensing deals with some of these companies, but the NCR agreement, announced Monday, is the first one that also includes a cross-licensing deal, giving DataTreasury access to NCR's patent portfolio.

Ed Hohn, a lawyer with Nix, Patterson & Roach LLP of Daingerfield, Tex., and DataTreasury's lead attorney, said the settlement also involves a "substantial" cash payment to DataTreasury, payable in "several weeks."

"NCR needs some time to put the money together," he said.

John Hourigan, NCR's director of corporate communications, said by e-mail that the company does not comment on settlements.

The case was filed last February in the U.S. District Court for the Eastern District of Texas, and the two companies reached the settlement last Thursday, just before DataTreasury was to begin deposing NCR executives as part of the discovery phase of the case.

Rod Cooper, a lawyer with Cooper Law Firm of Dallas and DataTreasury's patent counsel, said that DataTreasury could use NCR's patents to expand DataTreasury's archiving software, Global Repository Platform. For example, it could incorporate NCR's biometric and signature-capture technology.

Mr. Hohn said the NCR technology "opens the door for" using electronic transactions within the repository software as well, especially automated clearing house payments.

Alenka Grealish, the manager of the banking group at the Boston research and consulting firm Celent Communications LLC, said the cross-licensing deal could prove a big advantage to DataTreasury. "NCR is a leader in in-house archiving," she said. "Most big banks with image archives are using NCR software. …