25 February 2017
visit dh.com

Mitek ups the ante in legal battle with USAA

19 July 2012  |  4278 views  |  0 boxing gloves

Mobile cheque imaging outfit Mitek has raised the stakes in its ongoing legal battle with online army bank USAA to include claims for defamation and unfair business practices.

The dispute between the parties centres on allegations by USAA that Mitek stole its proprietary information from a previous engagement between the two when it later developed its remote cheque deposit software. Mitek in turn is pursuing the bank for alleged patent infringement.

USAA filed suit against the vendor in March in the US Federal Court, Western District, in San Antonio, Texas, alleging "misappropriation of USAA's proprietary information, breach of contract and fraud, among other claims. The bank is also seeking an injunction on Mitek using USAA's intellectual property and unspecified damages, in addition to a recovery of an alleged $381,000 overpayment to the vendor.

Mitek CEO and president James DeBello flatly denies the bank's claims:
"We believe these misrepresentations are damaging to our company and are designed to inhibit Mitek's ability to compete in the marketplace...We have given USAA every opportunity to correct their misstatements, but, unfortunately, it has steadfastly refused to do so."

In its lawsuit, Mitek is seeking monetary damages, injunctive relief, and a finding that USAA "willfully infringed Mitek's patents, breached the parties' license agreement, defamed Mitek and violated the Lanham Act".

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit dh.comVisit Yelloco.co.uk

Who is commenting?

Top topics

Most viewed Most shared
EBA to relax controversial PSD2 authentication rulesEBA to relax controversial PSD2 authentica...
12599 views comments | 52 tweets | 72 linkedin
RBS to become fintech fund and high street outlet for challenger banks under HMT remedyRBS to become fintech fund and high street...
8553 views comments | 40 tweets | 34 linkedin
High rate of defaults hit P2P lending sectorHigh rate of defaults hit P2P lending sect...
6798 views comments | 18 tweets | 13 linkedin
BNY Mellon seeks blockchain experts for new emerging biz and tech teamBNY Mellon seeks blockchain experts for ne...
6781 views comments | 7 tweets | 4 linkedin
hands typing furiouslyBlockchain Technology
6121 views 1 | 15 tweets | 7 linkedin

Featured job

Six Figure Base + Commission + Stock Options
London

Find your next job