Benzinga | Jul 7, 2021 04:57PM EDT

Engine Media Shares Spike ~11% Afterhours Following Announcement Co. Filing of Patent Infringement Lawsuit Against DraftKings

Engine Media Holdings, Inc. ("Engine" or the "Company") (TSXV:GAME) (NASDAQ:GAME), a company providing sports and esports gaming experiences, along with media solutions focused on influencer marketing, gaming data and analytics, and programmatic advertising, today announced that its Winview Inc. subsidiary has commenced an action in the United States District Court for the District of New Jersey against DraftKings Inc. (NASDAQ:DKNG), alleging infringement of patents owned by Winview. The Company is being represented in this matter by Morgan Chu of Irell & Manella, LLP and Thomas R. Curtin of McElroy, Deutsch, Mulvaney & Carpenter, LLP.

The lawsuit alleges that various gaming services provided by DraftKings infringe Winview's United States Patent No. 9,878,243 (the "'243 Patent") entitled "Methodology for Equalizing Systemic Latencies in Television Reception in Connection with Games of Skill Played in Connection with Live Television Programming" and United States Patent No. 10,721,543 (the "'543 Patent") entitled "Method Of and System For Managing Client Resources and Assets for Activities On Computing Devices." The action seeks the recovery of damages and other appropriate relief.

Tom Rogers, Executive Chairman of Engine Media, stated, "Winview is an important operating unit of Engine Media, providing cash games of skill as part of the viewing experience of both traditional sports and esports. In addition, Winview has a growing portfolio of 80 issued United States patents, many of which relate to mobile sports betting and online gaming technologies. We will continue assessing how we can protect our intellectual property."