NIDEC CORPORATION v. VICTOR COMPANY OF JAPAN, LTD, et al.
U.S. District Court, Northern District of California, C 05-686 SBA

Judge: Armstrong
Who I Represented: Nidec Corporation
Type of Case: patent infringement
Opposing Counsel: Howard Rice Memerovski Canady Falk & Rabkin, and Amster, Rothstein & Ebenstein, LLP
Date of MSJ: September 28, 2007

Nidec obtained summary judgment victory in a patent infringement action brought by my client Nidec against Victor Company of Japan, Ltd (JVC). Nidec is the world's largest manufacturer of spindle motors used in hard disk drives. Nidec sought $80M in actual damages based upon JVC's infringement of four Nidec patents relating to fluid dynamic bearings used in spindle motors. JVC counterclaimed for $60M in actual damages based upon Nidec's alleged infringement of a JVC patent relating to hard disk drives.

Following a favorable claim construction hearing, Nidec obtained a complete summary judgment victory in favor of Nidec on JVC's counterclaim. At the same time, Nidec obtained rulings from the Court denying JVC's motion for summary judgment of non-infringement of Nidec's patents in all respects, and denying JVC's motion for summary judgment of invalidity of Nidec's patents for three out of the four asserted Nidec patents. Within weeks of these rulings, the parties entered into settlement discussions that resolved favorably to Nidec, including Nidec's receipt of cash payments in the tens of millions of dollars and license rights to JVC technology, and JVC's dismissal of antitrust claims made against Nidec in a separate litigation. JVC also has announced that it no longer intends to compete in the spindle motor market and will spin-off the relevant business units.