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PACid sues major financial institution for patent infringement for user authentication technology

Brendan Bement Matt Braunel March 23, 2023

PACid Technologies, LLC sued a major financial institution (the “Bank”) on March 7, 2023. The suit is pending in the Western District of Texas – Austin Division. PACid alleges it owns U.S. Patent Nos. 9,577,993, 9,876,771, 10,044,689, 10,171,433, 10,484,344, and 11,070,530 each entitled “System and Method for Authenticating Users.”  

PACid alleges its patents “are directed to technical advancements arising within the fields of user authentication and security of communications among computing devices.” Compl. 30. PACid claims the Bank uses Fast Identity Online (FIDO) authentication protocols that infringe PACid’s patented inventions. PACid further claims that the Bank infringes its patents by offering software applications allowing users to log into bank accounts using fingerprints and/or facial recognition.

One of the patents describes the invention as:

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‘689 Patent, Fig. 8; see also Col. 2:1-2.

This is the third patent infringement suit filed by PACid since 2018. PACid previously sued Gemalto, Inc. in the Western District of Texas and Samsung Electronics in the Eastern District of Texas. Both the Gemalto and the Samsung cases were dismissed within a year of filing.  

The case is Case No. 1-23-cv-00251 (W.D. Tex. filed Mar. 7, 2023).

Brendan Bement and Matt Braunel are members of Thompson Coburn’s Intellectual Property group.