Gateway Loses Bid To Toss Intergraph Settlement

Law360, New York (January 20, 2009, 12:00 AM EST) -- Gateway Inc. is bound to the royalty terms of a 2004 settlement agreement with Intergraph Hardware Technologies Co., now that a federal judge has rejected the computer maker's challenge to the deal.

Judge T. John Ward of the U.S. District Court for the Eastern District of Texas held Monday that Gateway could not evade the terms of the settlement agreement and was obligated to pay Intergraph a royalty from the sale of various computer systems until the expiration of Intergraph's patents on Feb. 25, 2009....
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