Federal Circuit Denies Akamai's Patent Infringement Lawsuit Against Limelight on Remand

The U.S. Court of Appeals for the Federal Circuit denied Akamai Technologies' appeal of its $45.5 million patent infringement lawsuit against Limelight Networks, ruling Wednesday that U.S. District Court Judge Rya Zobel's original ruling in Boston against Akamai was correct. The Supreme Court had remanded Akamai's appeal to the Federal Circuit last year, ruling then that a company can claim patent infringement only if another company was involved in every step of the infringement (see report in the June 3, 2014, issue). The Federal Circuit vacated its original ruling in Limelight's favor in July (see report in the July 29, 2014, issue). Federal Circuit Chief Judge Sharon Prost and Judge Richard Linn ruled for Akamai, saying in their majority opinion “there is nothing to indicate that Limelight’s customers are performing any of the claimed method steps as agents for Limelight, or in any other way vicariously on behalf of Limelight.” Judge Kimberly Moore dissented in the case, saying the majority opinion “creates a gaping hole in what for centuries has been recognized as an actionable form of infringement.” Limelight shouldn't be immune from liability just because its customers perform a few of the requisite steps for patent infringement on Limelight's behalf, she said. Moore's dissent “provides all the more reason for the court” to reconsider what constitutes patent infringement, an Akamai spokesman said. “We have used precious assets and time to defend our position, and we are very pleased with today’s outcome,” said Limelight CEO Bob Lento in a statement.