Compliance Management, Data Security, Encryption, Network Security, Privacy

So-called ‘Patent Troll’ sues dozens of major firms over encryption use


Texas-based company CryptoPeak Solutions is suing nearly 70 major firms including Progressive, Netflix, ScottTrade, AT&T, GoPro and more for their use of HTTPS websites that allegedly infringe on its encryption patent.

In May, the so-called “Patent Troll” obtained US Patent 6,202,150 which protects "auto-escrowable and auto-certifiable cryptosystems" and which, the company argues, includes any TLS-secured websites that operate in compliance with elliptic curve cryptography (ECC).

In July, Cryptopeak Solutions began pursuing dozens of companies that met the description through courts in the eastern district of Texas seeking compensation for damages, royalties, and legal bills.

CryptoPeak alleged that Progressive and other companies "committed direct infringement by its actions that comprise using one or more websites that utilize Elliptic Curve Cryptography Cipher Suites for the Transport Layer Security protocol," according to court documents.

Several of the high profile defendants including Netflix have already filed motions for dismissals while others have likes Scottrade have settled out of court.

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