Armed with a patent it obtained through an acquisition 10 years ago, a medical payment processing company is suing retail giants and demanding licenses from dozens of others for using technology that activates and processes payments for debit and gift cards.

MedCom USA Inc. subsidiary Card Activation Technologies Inc. sued Sears Holdings Corp. of Hoffman Estates, Ill., on Nov. 28 for allegedly infringing on a patent that processes debit purchase transactions using a countertop terminal system. Card Activation Technologies Inc. v. Sears Holding Corp., No. 06-06485 (N.D. Ill.).

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