AN IRISH technology firm that successfully sued two local companies - including banking giant UOB - for infringing its patent wants up to $15 million in damages and lost profits.
According to court documents, Main-Line Corporate Holdings invented a computerised system to identify the currency used by a credit card from its card number in 1999, which it subsequently patented in several countries including Singapore.
Main-Line had hoped to use this algorithm to make money from foreign currency credit card transactions.
Banks issuing credit cards to consumers make a small profit from purchases made overseas. They do this by charging their cardholders a slightly higher foreign currency exchange rate when settling the cardholder's outstanding bill with the bank of the shop where the purchase was made. Credit card transactions are typically settled in the merchant's currency.
By identifying the cardholder's currency at the point of purchase, Main-Line's technology allows the merchant and its bank to make this profit, instead of the cardholder's bank.
In 1999, Main-Line and UOB began negotiations to use the technology here, but could not come to an agreement.
UOB subsequently engaged another company, First Currency Choice System (FCC), which offered the same service as Main-Line's.
In 2002, Main-Line informed UOB that it had successfully patented its technology, and when UOB continued to use FCC's services, Main-Line sued both UOB and FCC.
The High Court ruled in favour of Main-Line in 2006, and the defendants lost again in the Court of Appeal, the Republic's highest court, when they appealed.
On Monday, the three companies went before the High Court again, this time over a dispute on damages.
Main-Line's lawyer, Mr Wong Siew Hong of Infinitus Law Corporation, said his client is entitled to damages from FCC, and an 'account of profits', legal parlance for the money Main-Line would have made if its patent was not infringed, from FCC.
This amount, said Mr Wong, is likely to be 'between $3million and $15 million.'
FCC and UOB, through their lawyers Koh Chia Ling of ATMD Bird & Bird and Ang Wee Tiong of Tan Kok Quan Partnership, had argued that Main-Line cannot do so, that it has to pick either damages or an account of profits from the two defendants, rather than damages from one and profits from another.
In an in-chambers hearing on Monday which was closed to the press, Justice Belinda Ang ruled in Main-Line's favour.
Main-line's regional representative, Mr Declan Barry, said he was 'pleased with the outcome' and was hopeful the matter would be resolved soon.
A pre-trial conference scheduled for Tuesday was adjourned for two weeks.
http://www.straitstimes.com/Breaking+News/Singapore/Story/STIStory_328528.html
According to court documents, Main-Line Corporate Holdings invented a computerised system to identify the currency used by a credit card from its card number in 1999, which it subsequently patented in several countries including Singapore.
Main-Line had hoped to use this algorithm to make money from foreign currency credit card transactions.
Banks issuing credit cards to consumers make a small profit from purchases made overseas. They do this by charging their cardholders a slightly higher foreign currency exchange rate when settling the cardholder's outstanding bill with the bank of the shop where the purchase was made. Credit card transactions are typically settled in the merchant's currency.
By identifying the cardholder's currency at the point of purchase, Main-Line's technology allows the merchant and its bank to make this profit, instead of the cardholder's bank.
In 1999, Main-Line and UOB began negotiations to use the technology here, but could not come to an agreement.
UOB subsequently engaged another company, First Currency Choice System (FCC), which offered the same service as Main-Line's.
In 2002, Main-Line informed UOB that it had successfully patented its technology, and when UOB continued to use FCC's services, Main-Line sued both UOB and FCC.
The High Court ruled in favour of Main-Line in 2006, and the defendants lost again in the Court of Appeal, the Republic's highest court, when they appealed.
On Monday, the three companies went before the High Court again, this time over a dispute on damages.
Main-Line's lawyer, Mr Wong Siew Hong of Infinitus Law Corporation, said his client is entitled to damages from FCC, and an 'account of profits', legal parlance for the money Main-Line would have made if its patent was not infringed, from FCC.
This amount, said Mr Wong, is likely to be 'between $3million and $15 million.'
FCC and UOB, through their lawyers Koh Chia Ling of ATMD Bird & Bird and Ang Wee Tiong of Tan Kok Quan Partnership, had argued that Main-Line cannot do so, that it has to pick either damages or an account of profits from the two defendants, rather than damages from one and profits from another.
In an in-chambers hearing on Monday which was closed to the press, Justice Belinda Ang ruled in Main-Line's favour.
Main-line's regional representative, Mr Declan Barry, said he was 'pleased with the outcome' and was hopeful the matter would be resolved soon.
A pre-trial conference scheduled for Tuesday was adjourned for two weeks.
http://www.straitstimes.com/Breaking+News/Singapore/Story/STIStory_328528.html
