Blue Calypso Joins Stay Motion Filed in Patent Infringement Litigation to Strengthen Case

Management and Legal Teams Believe Negotiated Terms to Join the Stay Will Shorten the Time to the Ultimate Resolution

Richardson, Texas, UNITED STATES

DALLAS, Jan. 16, 2014 (GLOBE NEWSWIRE) -- Blue Calypso, Inc. (OTCBB:BCYP), a developer of digital innovation products and services, filed a joint motion with the defendants requesting a stay of the case until after the Patent Trial and Appeal Board's (PTAB) Covered Business Method Review (CBMR).

"Together with our litigation and prosecution counsel, we unanimously concluded joining the defendants' request for stay on the Markman hearing was in the best interest of our shareholders and company," stated Blue Calypso CEO Bill Ogle. "By negotiating with the defendants our team has secured key terms that cemented our decision to join the stay. We believe this will avoid the possibility of conflicting verdicts; minimize appeals and shorten the resolution potentially by over a year. We are extremely confident in our case and the validity of our patents. We remain focused on our goal of increasing value to our shareholders through sales of our products and services and the protection of our patented technology."

Fish & Richardson P.C. Comments

Fish & Richardson is Blue Calypso's patent litigation counsel and one of the largest firms practicing intellectual property litigation, transactional, and regulatory services. Attorney Thomas M. Melsheimer stated, "While post-grant challenges have become a common tool for accused infringers, the CBMR procedure provides a unique opportunity for patent owners like Blue Calypso to further strengthen their patents in a shorter timeframe. We are confident the CBMRs instituted with regard to the Blue Calypso patents provide a unique opportunity for the company to more fully realize the total potential of its patent portfolio. For instance, we can now address various invalidity arguments by the defendants, which in turn increase our belief that the company will ultimately prevail in the underlying litigation."

Key Reasons for Joining the Request of Stay

  • Defendants will be estopped from raising key invalidity arguments at trial.

  • Defendants will face an expedited schedule with fewer defenses after the CBMR.
  • Patents that have survived a post-grant review procedure are considered battle tested, making them more resilient against any future claims of invalidity.

Summary of the PTAB and the CBMR

The PTAB was established in part to respond to the perceived problem of non-practicing entities (NPEs). Its CBMR process, similar to a "re-exam," is a relatively new process that became effective in September 2012 as a part of the America Invents Act. During a CBMR, the patent owner has the opportunity to respond twice: an initial response as to whether or not grounds exist to review the patent and a second substantive response including evidence in support of upholding the patent as valid. 

Recent Events Related to Blue Calypso Patent Litigation

In June 2013, defendant Groupon filed a petition for CBMR for three of Blue Calypso's issued patents and then filed a subsequent CBMR petition in August 2013 for the remaining two issued Blue Calypso patents. The PTAB has agreed to hear cases on the first three patents and is still considering the remaining two cases. The PTAB has chosen to institute most CBMR cases. As such, Blue Calypso's management and litigation team were not surprised by the institution orders. At this juncture, Blue Calypso has filed its first response and joined the request for stay of the litigation. The second substantive response which will include the Company's position as to validity of the patents will be filed in March.

About Blue Calypso, Inc.

Blue Calypso, Inc. (OTCBB:BCYP) develops digital innovation products and services for the social media marketplace using its patented IP portfolio. The company enables businesses to employ digital advertising to share and socialize brand content as well as track performance, monitor engagements and gather robust analytics – all at lower costs than traditional marketing. Already, Blue Calypso has attracted a handful of large, well-known consumer facing companies in automotive, retail, travel and consumer goods. Blue Calypso licenses its IP in addition to offering digital innovation services through Blue Calypso Labs and solutions including POPSHARE™, SOCIALECHO™, EMGAGE™ and DashTAGG™. For more about the company please visit

Forward Looking Statements

Statements in this press release that are not statements of historical or current fact constitute "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties, and other unknown factors that could cause the actual results of the Company to be materially different from historical results or from any future results expressed or implied by such forward-looking statements. In addition to statements which explicitly describe such risks and uncertainties, readers are urged to consider statements labeled with the terms "believes," "belief," "expects," "intends," "anticipates," "will," or "plans" to be uncertain and forward-looking. The forward-looking statements contained herein are also subject generally to other risks and uncertainties that are described from time to time in the Company's reports filed with the Securities and Exchange Commission.


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