June 23 (Reuters) - Data storage provider Western
Digital ( WDC ) has convinced a California federal judge to
reduce a $552.7 million award against it in a patent dispute
over data encryption to just $1, according to a court order made
public on Monday.
U.S. District Judge James Selna said the award for patent
licensing company SPEX Technologies wrongly included damages for
aspects of Western Digital's ( WDC ) products that did not infringe the
patent, wiping out a $315.7 million jury verdict plus an
additional $237 million that he had previously determined
Western Digital ( WDC ) owed SPEX in interest.
Spokespeople and attorneys for the companies did not
immediately respond to requests for comment on the decision.
San Jose, California-based SPEX was originally formed to
license technology from Spyrus, a cryptography company that
developed technology for encrypting sensitive communications.
SPEX said in its 2016 lawsuit that Western Digital's ( WDC )
self-encrypting hard drive products infringed a Spyrus patent
covering data encryption innovations.
The lawsuit alleged that Western Digital ( WDC ) data storage
devices, including its Ultrastar, My Book and My Passport
products, infringed the patent. Western Digital ( WDC ) denied the
allegations.
A jury in Santa Ana, California, ruled for SPEX last
October. Selna said in his decision made public Monday that SPEX
could only receive "nominal" damages for Western Digital's ( WDC )
infringement, slashing the award to $1.