PRESS RELEASE
3 May 2026

Intellectual Property Practice Secures $185 Million Settlement In Landmark Patent Infringement Case

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Sheppard, Mullin, Richter & Hampton LLP

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Businesses turn to Sheppard to deliver sophisticated counsel to help clients move ahead. With more than 1,200 lawyers located in 16 offices worldwide, our client-centered approach is grounded in nearly a century of building enduring relationships on trust and collaboration. Our broad and diversified practices serve global clients—from startups to Fortune 500 companies—at every stage of the business cycle, including high-stakes litigation, complex transactions, sophisticated financings and regulatory issues. With leading edge technologies and innovation behind our team, we pride ourselves on being a strategic partner to our clients.
On March 23, 2026, a Sheppard IP trial team achieved a settlement resolving the largest reported patent infringement damages judgment against the United States...
United States

On March 23, 2026, a Sheppard IP trial team achieved a settlement resolving the largest reported patent infringement damages judgment against the United States for client, SecurityPoint Holdings, Inc (SecurityPoint). SecurityPoint sued the United States for infringing a SecurityPoint patent covering the use of wheeled carts to organize and transport the gray bins TSA uses at airport security screening checkpoints.

On June 3, 2025, the Court of Federal Claims entered judgment for SecurityPoint in the amount of $170,647,991, plus post-judgment delay damages until the judgment is paid. The government appealed to the Federal Circuit, challenging the patent's validity, SecurityPoint's standing to sue and the amount of damages. Several days after SecurityPoint filed its response brief, the Department of Justice agreed to settle the case for $185,000,000—nearly $15 million more than the judgment—reflecting, among other things, the government's risk of liability for SecurityPoint's attorneys' fees and additional delay damages.

The Sheppard team was led by Brad Graveline and included Yasamin Parsafar, Mike Hopkins and Todd Lundell.

Contributor

Businesses turn to Sheppard to deliver sophisticated counsel to help clients move ahead. With more than 1,200 lawyers located in 16 offices worldwide, our client-centered approach is grounded in nearly a century of building enduring relationships on trust and collaboration. Our broad and diversified practices serve global clients—from startups to Fortune 500 companies—at every stage of the business cycle, including high-stakes litigation, complex transactions, sophisticated financings and regulatory issues. With leading edge technologies and innovation behind our team, we pride ourselves on being a strategic partner to our clients.
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