Tyco Announces Resolution of U.S. Patent Infringement Litigation

Settlement agreement prevents Ningbo Acousto-Magnetic EAS labels from entering the U.S.

NEUHAUSEN, Switzerland—August 7, 2014—Tyco (www.tyco.com, www.tycois.com and www.tycoretailsolutions.com), a leading provider of retail performance and security solutions, today announced the resolution of pending litigation with Ningbo Signatronic Technologies, LLC, ALL-TAG Security, Best Security Industries, and Signatronic Corporation (herein together Ningbo) involving U.S. Patent Nos. 5,729,200 (’200 patent) and 6,181,245 (’245 patent).

Tyco’s genuine Sensormatic acousto-magnetic labels 

For nearly 50 years retailers have trusted Tyco’s genuine Sensormatic acousto-magnetic labels, designed for optimal performance with our detection and deactivation systems.

In December 2013, the complaint was filed jointly by Tyco Fire & Security GmbH and its Sensormatic Electronics, LLC and Tyco Integrated Security, LLC (herein together Tyco) businesses against Ningbo in both the International Trade Commission (ITC) and the U.S. District Court for the Southern District of Florida to prohibit the importation into the United States of certain Ningbo acousto-magnetic (AM) electronic article surveillance systems (EAS) labels. The complaint was aimed at promoting the U.S. public interest by protecting Tyco’s intellectual property rights and the associated domestic industry. Furthermore, the complaint was intended to help protect the value of its leading Sensormatic brand, since infringing products may not perform to the quality standards of authentic Sensormatic AM labels.

Under a settlement agreement resolving both the ITC and District Court actions, the parties have agreed that Ningbo will withdraw from the United States certain EAS label models that use these patents, and make an unspecified payment to Tyco.

Consent agreements memorializing the resolution will be filed in both the ITC and District Court actions, and both actions will be terminated. All other terms of the settlement are confidential.

“We are pleased with the outcome of this U.S. patent infringement litigation,” said Nancy Chisholm, President, Tyco Retail Solutions. “Protecting our intellectual property is central to our ability to continue investing in innovative solutions that help retailers deter theft and improve profitability. We are committed to helping retailers drive sales and navigate an increasingly competitive and dynamic global marketplace. The design quality and manufacturing consistency of our AM labels is critical to the overall performance of genuine Sensormatic anti-shoplifting systems retailers have relied on for nearly 50 years. A growing number of companies are selling non-Sensormatic brand AM tags and labels. Retailers should ask these companies if they employ the same quality and regulatory safeguards as Tyco, as variable quality and inconsistent performance may put retailers at risk, leaving them vulnerable to lost revenue in the short term and loss of customer confidence in the long term.”

Tyco pioneered the EAS anti-shoplifting industry through its Sensormatic brand and continues to invest significant research and development resources to innovate this family of products. Tyco also provides a complete portfolio of high-technology Sensormatic security and store performance systems that allow retailers to better manage their inventories, shopper activity, employees and facilities.

Read more about Tyco and its Sensormatic EAS portfolio.

About Tyco Retail Solutions

Tyco Retail Solutions is a leading global provider of integrated retail performance and security solutions, deployed today at more than 80 percent of the world’s top 200 retailers. Customers range from single-store boutiques to global retail enterprises. Operating in more than 70 countries worldwide, Tyco Retail Solutions provides retailers with real-time visibility to their inventory and assets to improve operations, optimize profitability and create memorable shopper experiences.

The Tyco Retail Solutions portfolio for retailers is sold direct through Tyco businesses and authorized business partners around the world. For more information, please visit TycoRetailSolutions.com or follow us on LinkedIn, Twitter, and our YouTube channel.

About Tyco

Tyco (NYSE: TYC) is the world's largest pure-play fire protection and security company. Tyco provides more than three million customers around the globe with the latest fire protection and security products and services. A company with $10+ billion in revenue, Tyco has over 57,000 employees in more than 1,000 locations across 50 countries serving various end markets, including commercial, institutional, governmental, retail, industrial, energy, residential and small business. For more information, visit the new www.tyco.com.


Julie Crotty

Attune Communications

+1 (978) 877-0053

TYCO and SENSORMATIC are registered trademarks. Unauthorized use is strictly prohibited.

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Published on 8/7/2014 Permalink


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