Canon, Globest Reach Settlement

Canon Inc., Globest Trading Inc., and Globest’s parent company, Internet Brand Development (HK) Limited (“IBD”), have entered into a settlement agreement to amicably resolve the pending lawsuit between Canon and Globest in the Central District of California.

The lawsuit involved the compatible versions of Globest’s toner cartridge models CF210X, CF211A, CF212A, CF213A, CB540A, CB541A, CB542A, CB543A, CE320A, CE321A, CE322A, CE323A, CRG-116, CRG-131H, CE410X, CE411A, CE412A, CE413A, CF380X, CF381A, CF382A, CF383A, CC530A, CC531A, CC532A, CC533A, CRG-118, PTCF210A, PTCF211A, PTCF212A, and PTCF213A, which are compatible with Canon toner cartridge models 116, 118, 131, and 131II and HP toner cartridge models 125A, 128A, 131A, 131X, 304A, 305A, 305X, 312A, and 312X, and seven patents that Canon alleged were infringed.

Globest disputed Canon’s claim and filed a counterclaim for invalidity, which Canon denied.

To resolve the dispute, Globest agreed to a consent judgment and permanent injunction in which it agreed not to sell the compatible versions of the cartridges listed above that Canon alleged infringed its seven patents, or any similar version that infringes those patents. As part of the settlement, IBD and its affiliates also agreed not to sell those toner cartridges in the U.S. and various other countries.

Nothing in the settlement agreement prevents Globest or IBD from making, using, selling or offering for sale toner cartridges that do not infringe on Canon’s patents.

The seven patents at issue in the lawsuit are U.S. Patent Nos. 7,869,740 B2, 8,165,494 B2, 8,588,646 B2, 8,971,760 B2, 9,494,916 B2, 9,857,763 B2, and 10,162,304 B2.

Globest Trading is registered in California and sells ink and toner cartridges. IBD is registered in Hong Kong and its primary business is electronic products, office supplies, clothing, instruments and apparatuses and import/export.