E-Commerce Platform Shopify Secure Reversal of $40 Million Patent Damage Claim

Shopify Inc. Platform

Canadian e-commerce platform Shopify (SHOP.TO) has successfully convinced a Delaware federal court to overturn a jury’s decision that the company owes $40 million in damages for infringing patents related to website-building technology.

On Friday, U.S. District Judge Richard Andrews ruled that there was insufficient evidence to support the jury’s findings that Shopify infringed on patents owned by patent-holding company Express Mobile.

Delaware State Capitol – Shopify

Attorneys for Express Mobile did not immediately respond to a request for comment on Monday. A Shopify spokesperson hailed the decision as “a significant victory in the battle against patent trolls.”

Express Mobile holds patents related to internet and mobile technology developed by its founder, former IBM engineer Steven Rempell.

The company sued Shopify in 2019, alleging that Shopify’s website-building tools infringed on its patents for software that provides content to mobile devices.

Shopify Inc. Platform

Express Mobile has also sued dozens of other tech companies, including Google, Meta, and Amazon, for allegedly infringing the same and other patents.

Last year, a federal jury determined that Shopify owed Express Mobile a lump sum of $40 million for infringement.

However, Judge Andrews ruled on Friday that the verdict could not stand, citing a lack of evidence that any Shopify merchant enabled the features accused of violating Express Mobile’s rights.

Nate O'Hara
Nathan is a seasoned commerce writer with a passion for unraveling the intricacies of the business world and distilling them into engaging narratives. During his academic journey, he delved deep into subjects like economics, marketing, and entrepreneurship, honing his analytical skills and developing a keen understanding of market dynamics.