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MUSICRYPT ASSERTS INTELLECTUAL PROPERTY RIGHTS

CNW

Musicrypt Inc., the industry's leading secure digital media distribution company, has recently asserted its intellectual property rights in Canada by advising certain Canadian users of Destiny Media Technologies' Play MPE that there is serious patent litigation in progress regarding the use of PlayMPE in Canada, and that such use may constitute infringement of Musicrypt's Canadian patent No. 2,407,774 titled "Content Distribution System and Method".

 

Musicrypt and Destiny have been involved in a court action in the Federal Court of Canada in respect of Musicrypt's patent since March 2006. Musicrypt firmly believes that its patent is valid and has been infringed by Destiny and has claimed $15 million in damages. That action is on-going. Musicrypt made statements to users of Destiny's Play MPE system regarding that patent litigation. As a result of those statements Destiny recently launched a further action against Musicrypt and certain of its officers claiming that the statements are inaccurate and misleading. Musicrypt firmly maintains that any statements it made to users of Destiny's Play MPE system regarding its patent and the patent litigation are accurate and true.

 

"Musicrypt considers this new suit meritless and believes it is merely to distract attention from the patent infringement liability that Destiny potentially faces. Musicrypt will concentrate on the patent action which is and remains the central dispute between Musicrypt and Destiny," said John Heaven, President and CEO of Musicrypt. "It is not our intent to litigate this matter by press release but rather by proper judicial process, which we are pursuing vigorously. Both actions will be resolved by the court in due course."

 

The first patent Musicrypt is proud to have been granted is patent No. 2,407,774 titled "Content Distribution System and Method" in Canada. The patent can be viewed online at the Canadian Intellectual Property Office website at: http://patents1.ic.gc.ca/details?patent_number=2407774&language=EN.

 

The "Content Distribution System and Method" patent has 75 claims including provision of samples of content, setting of release conditions (such as time and date) for the content, providing downloads to authorized recipients, validating the identity of authorized recipients of content, encryption and decryption of the content upon validation and provision of feedback from recipients. It is important to note that this patent is not dependent on the use of biometrics, which is covered in Musicrypt's second patent, US patent No. 7,003,670 titled "Biometric Rights Management System", which was issued in the US on February 21, 2006 and expires in September 21, 2023, that is also pending in Canada.

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