Newegg, a leading online retailer of electronic accessories, saw its persistence pay off last week as a patent dispute involving fundamental ecommerce technologies fell in its favor after a lengthy appeals process.
--- # [](https://www.innovation-asset.com/) - [Decipher®](https://www.innovation-asset.com/products-decipher) - [Services](https://www.innovation-asset.com/products/professional-services-0) - [Resources](https://www.innovation-asset.com/resources) - [Blog](https://www.innovation-asset.com/blog) - [About Us](https://www.innovation-asset.com/about) - [Contact Us](https://www.innovation-asset.com/contact) # Innovation Asset Blog # Newegg patent decision signals big win for ecommerce by [Peter Ackerman](https://www.innovation-asset.com/blog/author/peter-ackerman) Newegg, a leading online retailer of electronic accessories, saw its persistence pay off last week as a [patent dispute](http://www.cafc.uscourts.gov/images/stories/opinions-orders/2011-1009.Opinion.1-17-2013.1.PDF) involving fundamental ecommerce technologies fell in its favor after a lengthy appeals process. The patents at issue were held by Soverain Software, a company that has formerly pursued a variety of aggressive licensing strategies which produced lucrative agreements with Amazon, The Gap, Avon and several other prominent online retailers. According to [Ars Technica](http://arstechnica.com/tech-policy/2013/01/how-newegg-crushed-the-shopping-cart-patent-and-saved-online-retail/), Newegg decided to stand and fight what it believed were questionable tactics - even as dozens of others quietly capitulated to undisclosed, out-of-court settlements. While Newegg was originally ordered to pay Soverain approximately $2.5 million in licensing fees in 2010, that decision has now been reversed on appeal with the patent invalidated on account of obviousness. According to Ars Technica, Soverain had been been claiming rights to such fundamental ecommerce technologies as adding items to a digital shopping cart and proceeding through checkout. As Newegg was able to prove, the prior art cited by Soverain was dissimilar from the coding and functionality designed by Newegg in several significant ways. As a result, Soverain's standing litigation with Home Depot, Best Buy, RadioShack and others will be dismissed as well. When [reached for comment](http://www.marketwire.com/press-release/newegg-wins-key-shopping-cart-patent-lawsuit-1750345.htm), Newegg's chief legal officer Lee Cheng classified the case as a decisive victory for honest online businesses whose innovations "truly benefit society."  ### [Peter Ackerman](https://www.innovation-asset.com/blog/author/peter-ackerman) Founder & CEO, Innovation Asset Group, Inc. [January 29, 2013](https://www.innovation-asset.com/blog/newegg-patent-decision-signals-big-win-for-ecommerce) ### Subscribe to Email Updates ### Introducing Decipher® ### Categories - [Intellectual Property Management (459)](https://www.innovation-asset.com/blog/topic/intellectual-property-management) - [Commercialization and Licensing (210)](https://www.innovation-asset.com/blog/topic/commercialization-and-licensing) - [Invention Disclosure (201)](https://www.innovation-asset.com/blog/topic/invention-disclosure) - [Innovation Strategy (20)](https://www.innovation-asset.com/blog/topic/innovation-strategy) - [Ideas for Good (6)](https://www.innovation-asset.com/blog/topic/ideas-for-good) - [Innovation Team (3)](https://www.innovation-asset.com/blog/topic/innovation-team) ### News Archives - [January 2013 (26)](https://www.innovation-asset.com/blog/archive/2013/01) - [September 2012 (25)](https://www.innovation-asset.com/blog/archive/2012/09) - [October 2012 (22)](https://www.innovation-asset.com/blog/archive/2012/10) - [November 2012 (22)](https://www.innovation-asset.com/blog/archive/2012/11) - [November 2010 (21)](https://www.innovation-asset.com/blog/archive/2010/11) - [February 2011 (21)](https://www.innovation-asset.com/blog/archive/2011/02) - [July 2012 (21)](https://www.innovation-asset.com/blog/archive/2012/07) - [December 2012 (21)](https://www.innovation-asset.com/blog/archive/2012/12) - [January 2012 (20)](https://www.innovation-asset.com/blog/archive/2012/01) - [March 2012 (20)](https://www.innovation-asset.com/blog/archive/2012/03) ##### Portland, Oregon USA ##### © Innovation Asset Group, Inc. ##### [Privacy Policy](https://www.innovation-asset.com/privacy-policy/) | [Terms & Conditions](https://www.innovation-asset.com/terms-and-conditions/) | [Contact Us](https://www.innovation-asset.com/contact/) -