Valid Systems has dismissed its claims for patent infringement against Chexar Networks, Inc., according to a news release.
Valid's case was dismissed with prejudice, thus acknowledging Chexar's right to continue marketing the solution for check cashing all types of checks in retail and financial institution locations.
The case was filed in July 2009 by Valid in its home state of Texas. The suit had sought damages and attorneys' fees because Valid believed that Chexar was infringing U.S. Patent No. 7,528,710, entitled "Monitoring Transactions by Non-Account Holder." Chexar, based in Roswell, Ga., countered the action by asserting that it did not infringe the patent and that the patent was invalid.
Earlier this year, Valid submitted its infringement contentions. In response, Chexar submitted its invalidity contentions and then explained the operation of Chexar's system to Valid's attorneys. Shortly after this meeting, Valid and Chexar filed the dismissal on April 13, 2010.
"Chexar is an innovator in the field of check cashing and we respect the rights of other innovators," said Drew Edwards, Chexar's CEO. "We believe that the dismissal of this case affirms our conviction that our system did not infringe Valid's patent and that Chexar's solution is unique in its own right. We prefer to spend our energies continuing to innovate rather than defending our rights in baseless legal wrangling. We are pleased with this result."
