Research in Motion, maker of the popular Blackberry handhelds, has settled an acrimonious dispute with Good Technology over alleged patent infringement by Good Technology's wireless messaging software.

The dispute began in May 2002 when Good Technology, then a start-up, went to court to seek a declaratory judgement that its software did not infringe upon a Research in Motion (RIM) patent.

The patent covered the redirecting of information between a host system, such as an office PC or server, and a mobile device such as a PDA, while maintaining a single, existing e-mail address and mailbox.

RIM responded a month later with a suit alleging that Good Technology's wireless goods and services infringed four RIM patents. In July 2002, RIM filed an additional separate lawsuit alleging that Good Technology had infringed on a portion of RIM's Copyright Portfolio associated with the user interface on RIM's line of BlackBerry Wireless Handhelds.

In July 2002, RIM filed another lawsuit against Good Technology alleging that the company had engaged in unfair competition, false advertising, trade mark infringement and trade mark dilution resulting in the unlawful use of the RIM and BlackBerry marks.

In September 2002, RIM filed yet another suit, alleging the misappropriation of trade secrets, breach of contract, tortious interference with contracts and prospective economic relations, unfair competition, unjust enrichment, breach of implied duty of good faith and fair dealing, and civil conspiracy.

The companies announced on Friday that they have settled their disputes and that the lawsuits will be dismissed. RIM and Good Technology have entered a royalty-bearing license agreement whereby RIM will receive a lump sum settlement during the first quarter of fiscal 2005 as well as ongoing quarterly royalties. Other terms of the agreement were not disclosed.

Despite this success, RIM faces a serious challenge to its survival, as it awaits a US Patent and Trademark Office review of patents owned by software company NTP. It successfully sued RIM for infringement of these patents in 2002 and won an injunction. If NTP wins the USPTO review, the injunction takes effect and RIM will be forced to stop selling its Blackberry devices, unless it can reach settlement terms with NTP.

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