Read The Recorder‘s roundup of the stock-option backdating scandal. There won’t be a test later … but there might be a subpoena.
“We accept Judge Whyte’s decision and continue to be gratified with the outcome of this case, including the jury’s finding on validity and infringement,” Kramer said in a statement.
Though news of Danforth’s departure, announced late Thursday afternoon, came as a shock to many in the IP litigation field, they reflected that it’s not surprising given the company’s legal troubles.
“Although some may view Mr. Danforth as a scapegoat, changes in the legal department should not be a huge surprise because Rambus has been under enormous pressure,” said Edward Reines, a partner with Weil, Gotshal & Manges, whose client, Samsung Electronics, is being sued by Rambus for patent infringement.
“Rambus has been found to have intentionally destroyed documents by holding so-called ‘shred parties,’” Reines said, referring to the recent Virginia ruling. “One can expect management changes in the wake of such findings.”Danforth joined the company in October 2001, after the shredding took place.
Kenneth Nissly, a partner at Thelen Reid & Priest, which represents Hynix, was equally surprised by Rambus’ GC change. Asked if this might impact litigation, Nissly said he didn’t see it as a problem.
“Bob Kramer has been [at Rambus] for a while, and he’s certainly a capable guy,” Nissly said.
Reines agreed, saying that Kramer “sure has his work cut out for him.”
“Between the options scandal, the reduction of the jury award in the Hynix case, and the intentional destruction of documents, being general counsel of Rambus right now probably is not the most fun,” Reines added.
In a statement released Thursday, Danforth said he is “excited” about his new position. His focus will be on the company’s antitrust claims in San Francisco Superior Court and certain aspects of Rambus’ patent cases.
“After many years of litigation, we now hope to bring these cases to conclusions that adequately reflect the remarkable industry-wide contributions Rambus engineers have made,” Danforth said.
