Staktek sues Samsung on IC package secrets

Electronic News,  May 26, 1997  by Jim DeTar

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In an action filed in the District Court of Travis County, Texas, Staktek is seeking a temporary injunction against Samsung prohibiting that company from selling any chips using the Staktek packaging technology and asking that Samsung be held in contempt of a Sept. 16, 1994 judgment against Emory Garth, RTB Technology and Microelectronics & Computer Technology Corp. (MCC) in which a jury found that packaging technology was invented by Carmen D. Burns, Staktek president and CEO, and was misappropriated by the defendants.

"In the summer of 1993, Staktek filed a trade secret lawsuit against Emory Garth and RTB Technology Inc. in Travis County District Court. On Sept. 28, 1993, the Honorable Margaret Cooper entered a temporary injunction enjoining the defendants there from using certain integrated circuit packaging technology owned by Staktek," Staktek said in its filing against Samsung last week.

In an interview with Electronic News last week, when asked whether Staktek is still negotiating with Samsung while it pursues the legal action, Staktek president Carmen Burns replied, "We have not had contact with them since we placed the legal action."

Mr. Burns discussed that earlier action as well as this new suit against Samsung. "The original suit was against MCC, RTB and Mr. Garth, who is president of RTB. They misappropriated our trade secrets in packaging. We are all settled with them," Mr. Burns said. He described the Staktek packaging technology as "3-D stacking" type packaging.

When asked whether Staktek will seek financial compensation in addition to an injunction against Samsung, Mr. Burns declined to comment. Regarding the timetable for the suit, he did note that Staktek is currently "waiting for the selection of a judge and setting of a date."

The technology under dispute is specifically described by Staktek in its petition as "horizontally configured, vertically stacked, individual plastic encapsulated integrated circuit packages made by use of transfer molding that are thinner than standard packages and designed specifically for stacking with appropriate extra leads necessary for electrical interconnection as appropriate in stacking."

According to Staktek, it has been in negotiation with Samsung since December of 1996 regarding use of the packaging but the two companies have not been able to come to an agreement. "Samsung Korea and its alter ego Samsung America and Samsung Austin have threatened to and will, if they are not enjoined, ship the stolen technology to others. If they are allowed to do so, the status quo will be changed and this court will lose the power to give Staktek an effective final judgment awarding."

Consequently, according to Staktek, "If a temporary injunction is not entered by this court, Samsung and its alter egos will ship and sell the stolen technology and Staktek will suffer immediate and irreparable injury and damages."

Staktek is seeking that Samsung Korea, Samsung America and Samsung Austin be served with a temporary injunction from shipping chips using the packaging and be held in contempt of the Sept. 16, 1994, judgment for Staktek, and further that Samsung be "enjoined from using, selling, disclosing, shipping or manufacturing the technology described in such judgment, and any other technology or device that is derived in whole or in any part on such technology and that contains any element of such technology."

Staktek is also seeking compensation for court costs, attorney's fees and for "other (unspecified) relief to which Staktek may show itself justly entitled."

Attorneys for Staktek were not available for comment, and Samsung had not returned calls for comment by press time.

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