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MBTA settled with patent trolls two years ago to keep T alerts flowing

The Atlantic recently reported a company in Luxembourg is methodically suing public-transit agencies across the US, alleging real-time bus and train information violates patents it holds with a partner in the British Virgin Islands.

One transportation authority it won't sue, however, is our own MBTA.

The two companies actually sued the T in 2010 for alleged patent violations involving T alerts. Just four months later, however, both sides filed paperwork with US District Court in Boston that they had settled the case "with prejudice" - which means the two companies are barred from suing the T again.

"The settlement provides MBTA customers with uninterrupted access to the information they use regularly to make their commutes easier and more convenient," spokesman Joe Pesaturo said this morning. So did the T pay the two companies to leave it alone? "By mutual agreement, the parties are not discussing the terms," he said.

In 2010, the T's response to the lawsuit began: "This lawsuit offends any notion of justice," and called the lawsuit an attempted "shakedown" by companies that exist solely to attempt to extort money through lawsuits.

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Comments

And so have a hard time understanding this. Why is this type of thing allowed? Most of these trolls have ideas, and don't act on them. Others do, and they get sued. Alerting people to the status of trains is not a unique solution to a transit problem.

Any legal people who have input on this?

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Of course it depends on the particular circumstances, but perhaps the t should've been a bit more aggressive here. For example, this.

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If you know anything about these types of technologies and want to help us challenge this patent, take a look at the more detailed description and send any leads on prior art you might have to [email protected]. And let your friends and others who might have particular knowledge about vehicle tracking, fleet coordination, or similar systems know, too. We need your help to bust this dangerous patent!

https://www.eff.org/deeplinks/2012/03/help-eff-bus...

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But I am often confused.

So it was my understanding that the T contracts all this stuff out to NextBus, Inc, a San Francisco-based company. NextBus has been around for over a decade, as I remember using their service on MUNI in San Francisco.

Why are transit agencies being sued directly? I mean wouldn't common sense say that they would sue NextBus, not the transit agencies who use the service, right? I Mean its NextBus's system/software that does this, all the T had to do was get into contract with them to provide the service to passengers.

Anyone care to explain?

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Patent trolls always go after the larger purses, not the actual alleged transgressor. For example - Microsoft suing Samsung/HTC/Motorola over alleged Android patent violations.

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It may be that they settled with NextBus, and in fact I would imagine that they had, but I can't find any evidence of that.

But the reason to go after municipalities specifically is because they are a party to the infringement, even though they are customers of the proximate infringers. They are also less likely to fight the suit and settle, because the costs to fight a patent troll are something like $2M, if you win. If they'll settle for far less, then the moral high ground gives way to economic reality, as presented in Drew Curtis' TED talk, referenced above.

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AFAIK NextBus handles prediction and vehicle location information for buses only. T-alerts and other vehicle predictions are produced by the MBTA itself.

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NextBus was one of the first companies to settle with ArrivalStar back in 2004. Been there and done that...

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I had never heard of this phenomena until this eye opening opinion piece in the Wall Street Journal last week: http://online.wsj.com/article/SB100014240527023037...

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NPR aired a great story on patent trolls:

http://www.wbur.org/npr/138576167/when-patents-attack

Well worth a read or listen.

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And it was full of misleading crap.

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[citation needed]

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