PALO ALTO, Calif.--(BUSINESS WIRE)--OPTi Inc. (OTCBB:OPTI) today announced that it has entered into a Dismissal and License Option Agreement with Standard Microsystems Corporation (“SMSC”). The agreement suspends the lawsuit that the Company filed against SMSC in the Eastern District of Texas.
On July 2, 2007, the Company announced that it filed a complaint against SMSC in the United Stated District Court for the Eastern District of Texas, for infringement of two U.S. patents. The patents at issue in the lawsuit are U.S. patent No. 5,944,807 and U.S. patent No. 6,098,141, both entitled “Compact ISA-Bus Interface.” The complaint alleged that SMSC infringes the patents by making, selling, and offering for sale products based on and incorporating the Low Pin Count Interface Specification and inducing and contributing to the infringement of the patents by others.
In exchange for the Company agreeing to dismiss its lawsuit against SMSC without prejudice and to refrain from re-filing the lawsuit for a specified period of time, SMSC has agreed to make a payment of $1,900,000 to OPTi. The Company has also granted SMSC an option to purchase a license from OPTi for an additional license fee of $100,000.