Universal Electronics Inc(UEIC) has filed a patent infringement lawsuit against Calif.-based Peel Technologies Inc (:PEEL) in the U.S. District Court, California. Universal Electronics demands a permanent ban on the usage of its patents along with monetary damages to be levied on Peel.
In order to protect its investments and licenses along with customers’ interests, Universal Electronics had filed this lawsuit against Peel Technologies, which allegedly infringed five patents registered at the United State Patents and Trademark office. The patents infringed included system and method for setting up remote control, displaying user interface for remote control application, dynamic linking of code sets in remote devices, relaying key code signals and hand-held devices with browser application.
Universal Electronics has invested significantly in technological advancements for more than two decades. The company is recognized as a leading innovator in the remote control industry having over 260 patents and a number of intellectual property assets in the IR code libraries, smart phones and tablets. Some of these technologies are also included in the company’s innovative products pipeline.
In Jul 2013, Universal Electronics had filed a similar lawsuit, against Universal Remote Control for the infringement of nine patents. The decision for the same is still awaited. Usually lawsuits or legal battles take a long time for the final settlement. Therefore, legal matters and pending lawsuits prove to be a burden on the company’s business and might also impact its consumer confidence going forward.
Universal Electronics designs, develops, and delivers innovative solutions that enable consumers to control entertainment devices, digital media, and home systems. The company’s portfolio of technologies and infrared control software are utilized by companies in the consumer electronics, subscription broadcast and computing industries.
Universal Electronics currently has a Zacks Rank #1 (Strong buy). Bel Fuse Inc. (BELFB) and SL Industries Inc (SLI) are two other stocks from the similar industry that also carry a Zacks Rank #1 (Strong Buy). Also worth mentioning is Daktronics Inc (DAKT), which carries a Zacks Rank #2 (Buy).