Kramer Levin Team Fends Off Vendor's Second Motion to Dismiss Client Sirius XM's Indemnity Claim

On April 20, 2010, U.S. District Court Judge R. Gary Klausner of the Central District of California denied Intervoice Inc.'s second attempt to dismiss the indemnification claim of Kramer Levin client Sirius XM Radio Inc., broadcaster of over one hundred and thirty channels of satellite radio entertainment channels. After Sirius XM was sued for alleged patent infringement based on its customer care operations, Sirius XM filed a third party complaint against Intervoice, a vendor providing the automated telephone-based technology that was accused of infringement. Sirius XM alleged that Intervoice, as the party responsible for developing, controlling, operating and supervising the services accused of infringement, had both express and implied obligations to indemnify and defend Sirius XM against these charges of patent infringement. Intervoice filed an unsuccessful first motion to dismiss in November 2009, arguing that Sirius XM's claims were untimely (Intervoice ironically asserted this defense after arguing that Sirius XM's claims were premature). Intervoice's second motion to dismiss argued a lack of standing and failure to state a claim. The Kramer Levin team, however, was able to convince the Court that these new arguments were equally lacking in merit.

The Kramer Levin team consisted of Intellectual Property attorneys Jonathan S. Caplan, Mark Baghdassarian, Aaron Frankel and Heather J. Chase.

Law360 reported on the case.