Lodsys Sending Out Patent Infringement Notices

MARSHALL, Texas — A number of online adult companies have received patent infringement notices from a company called Lodsys, which owns a collection of patents that purport to provide interactive online advertising, subscription models and data collection, among other systems.

The letters to the adult companies, which were delivered by FedEx, say that they have been infringing on U.S. Patent No. 7,222,078, which includes "methods and systems for gathering information from units of a commodity across a network."

According to the patent's abstract, "In an exemplary system, information is received at a central location from different units of a commodity. The information is generated from two-way local interactions between users of the different units of the commodity and a user interface in the different units of the commodity. The interactions elicit from respective users their perceptions of the commodity."

The patent, filed in December 2003, was invented by Daniel Abelow who, according to his website, has licensed patented inventions to Apple, Google, Microsoft, Verizon, Nokia and 200 other companies.

One of those companies, Apple, publicly blasted Lodsys last month over its U.S. Patent No. 7,222,078 claims.

Apple says iOS developers received the same FedEx packages that included legal threats if they didn’t pay Lodsys to license a patent covering in-app purchasing and other app-related matters.  (Macworld published Apple's response directed at Lodsys CEO Mark Small here.)

Apple asked that "Lodsys immediately withdraw all notice letters sent to Apple App makers and cease its false assertions that the App Makers’ use of licensed Apple products and services in any way constitute infringement of any Lodsys patent."

But in a response to Apple's letter, Lodsys said it "carefully considered this issue and consulted several legal experts to consider Apple’s claims" and is adamant about the claims.

"We stand firm and restate our previous position that it is the third-party developers that are responsible for the infringement of Lodsys’ patents and they are responsible for securing the rights for their applications," Lodsys replied in a blog. "Developers relying on Apple’s letter do so to their own detriment and are strongly urged to review Apple’s own developer agreements to determine the true extent of Apple’s responsibilities to them."

Lodsys' CEO, Small, told XBIZ he couldn't comment on the letters sent to online adult companies, saying, "We made a decision not to do press and apply our resources to licensing discussions, and we want to be consistent/fair in our policy."

Nonetheless, Lodsys has filed several other suits over patents unrelated to U.S. Patent No. 7,222,078.

Those suits have been filed at U.S. District Court in Marshall, Texas, by the same attorney suing 18 adult entertainment studios on behalf of InMotion Imagery Technologies, which claims it owns a patent relating to video-indexing processes that use thumbnail images during DVD navigation.

The federal court in Marshall is a popular one for patent lawsuits. Attorneys say that quick trials and plaintiff-friendly juries are the big draw there. So are the Texas-sized verdicts sometimes handed to winners.

Patent cases are heard faster in Marshall than in many other courts, forcing some defendants to buckle under the pressure of time when trying to sort out complex infringement cases.

And while only about five percent make it to trial in Marshall, patent holders win 78 percent of the time, compared with an average of 59 percent nationwide, according to LegalMetric, a company that tracks patent litigation.

Related:  

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Pornhub Awards Fiesta: A Night of Music, Dancing and Camaraderie

The eighth annual Pornhub Awards transformed Los Candiles Night Club in Glassell Park into a celebration of glamour, glitter, fashion and fame Wednesday night, as performers, creators and industry insiders toasted the year’s winners and danced late into the night while Diplo and Midnight Mary kept the party pulsing from behind the decks.

Ukrainian Parliament Rejects Porn Decriminalization Bill

The Verkhovna Rada, Ukraine’s parliament, on Thursday voted against passage of a bill that would have decriminalized the creation and distribution of pornography in that country — an activity that currently carries a prison sentence of three to five years.

FSC Launches Pride Fundraising Drive

The Free Speech Coalition (FSC) has launched its Pride Fundraising Drive to support its efforts on behalf of the LGBTQ+ community.

Cultpix Debuts AI-Generated Vintage Adult Films at Cannes

At this year’s Cannes Film Festival, B-movie streaming service Cultpix debuted a collection of AI-generated short films drawn from erotic magazine photo spreads published 50 years ago.

Ofcom Fines Youngtek Solutions $800K for AV Noncompliance

U.K. media regulator Ofcom on Wednesday imposed fines totaling 600,000 pounds (more than $800,000) against adult site operator Youngtek Solutions for failing to implement age checks and respond to information requests as required for compliance with the Online Safety Act.

Pornhub Launches Lesbian Site 'Pornhub Sapphic'

Pornhub has launched Pornhub Sapphic, a site dedicated to female and non-binary content and creators.

Brazil Invites Public Input on AV Guidelines

Brazil’s National Data Protection Authority (ANPD) on Friday launched a public consultation on developing guidelines for age verification mechanisms under the country’s Digital Statute for Children and Adolescents (Digital ECA), which requires adult websites to age-verify users located in Brazil.

Paysite Confidential: Inside the Creator Economy's Shift Toward Ownership

For years, the adult industry’s creator economy has been defined by platforms — powerful engines of discovery, monetization and scale that reshaped how performers connect with their audiences.

Senator Urges DOJ to Crack Down on 'Obscenity,' Attacks OnlyFans

U.S. Senator Jim Banks of Indiana this week urged Acting Attorney General Todd Blanche to reestablish the Department of Justice’s defunct Obscenity Prosecution Task Force in a letter that targets OnlyFans while repeatedly conflating “obscenity” with legal adult content.

UN Experts Urge US, Canada to Prosecute Aylo, Others for 'Exploitation'

GENEVA – The United Nations Office of the High Commissioner for Human Rights (OHCHR) has issued a press release in which two U.N. special rapporteurs, cited as experts, accuse Aylo and other companies of complicity in sexual exploitation.

Show More