These Killers Are Out There!!
About a year ago I received a cease and desist letter from an attorney representing a company who felt my website and it's business process infringed on a patent they held.
I was not infringing on any technology they patented.
I was violating a copyright.
I did not copy a thing.
My website constituted a form that let users provide information that other users could respond to. Apparently, in 1996 they were awarded a very broad patent for this very thing. The only difference is that they called it an "application" and likened it to a bidding process. It was not a bidding process. The argument was going to be over the definition of the word "application."
Unfortunately this patent holder had already been awarded $5 million in a suit against LendingTree.com. So they had precedent for stretching the boundary of their patent. And this is apparently how they made their living.
So how did I get myself in trouble? By sending out a press release with the wrong terminology in it, and not doing enough research that my website did not violate someone's patented business process. My press release used the word "application" and the word "bid" in it, and this sealed my fate. They only found me because patent trolls go through press releases all day long to see who they can sue next. My attorney said this is becoming more common everyday.
They wanted me to pay a license for each user I had using my system. While I was not dead set against it, it made the operation unprofitable. So I decided to shut down my website and throw away more than $5,000/mo in revenue. I couldn't afford to go through the court system, lose, then stay in business paying them what they wanted. They killed that business. Just. Like. That.
Today I received a letter from them saying they were dropping the complaint since I complied with their cease and desist. Big of 'em.
And I'm not saying not to do press releases. Just be cautious of what you throw out there.
All is not lost. I will re-do this site, using a different design, different terminology, and a slightly different process and see what happens.
My amazingly awesome traffic blog (appropriatley named Not-Sucky Traffic) http://ryanthetrafficguy.tk
http://twitter.com/ryan_trafficguy
Bernie Madoff should just rob Peter and rob Paul.
Nothing to see here. Move along, citizen.