Secret Online-Citi Settlement Leaves Industry Wondering

By Fickenscher, Lisa | American Banker, March 30, 1995 | Go to article overview

Secret Online-Citi Settlement Leaves Industry Wondering


Fickenscher, Lisa, American Banker


When Online Resources and Communications Corp. and Citibank sued each other last year over patent infringement issues, each was quick to air its grievances through the news media.

Since they announced an out-of-court settlement earlier this month, the companies have clammed up about the details - by mutual agreement. But this has not prevented others in the payment services industry from talking about the implications of their agreement.

In fact, it appears there was some disappointment that a court confrontation was forestalled.

"I think a lot of people were looking at this litigation as ultimately providing guidance," said Robert G. Ballen, a partner in the Washington law firm of Schwartz & Ballen.

Mr. Ballen pointed out that many people have questioned the validity of payment system patents - a relatively new development lacking a body of precedent.

The Citibank-Online feud began last November, when Citibank filed its patent infringement suit in U.S. District Court for the Eastern District of Virginia.

Citibank claimed that Online, based in McLean, Va., violated three of the bank's patents by marketing a screen-enhanced telephone called ScreenPhone.

Online fired back with a countersuit in the same court seeking to invalidate Citibank's patents and to challenge the claims of infringement. Online claimed that Citibank simply wanted to eliminate competition in a desirable market - namely, the Washington area - where both companies are active in home-based services. Online's president, Matthew P. Lawlor, denounced Citibank's actions as "harassment."

Citibank remained characteristically closed-mouthed. However, in December a spokeswoman discussed Citibank's perspective, saying that the bank was "questioning" Online Resource's patent.

That remark touched on what many in the industry believed was at the heart of Citibank's attack on a relatively small player in the emerging home banking business.

Online obtained a broad patent in 1993 that appears to cover any bank transaction involving the debiting of a customer's account using a home device like a personal computer or screen telephone. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

Secret Online-Citi Settlement Leaves Industry Wondering
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.