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PayRange sues KioSoft for patent infringement

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March 4, 2020

PayRange Inc., which provides a mobile payment solution for non-networked unattended retail machines, has filed a patent infringement lawsuit against KioSoft, seeking damages estimated to be in excess of $50 million and a permanent injunction barring further infringing sales, according to a press release. 

PayRange, which serves unattended retail machines such as vending, laundry and amusements, said its technology and intellectual property portfolio are protected by 18 patents and another 35-plus pending patent applications. The suit was filed in the U.S. District Court for the Southern District of Florida.

PayRange claims KioSoft unlawfully sells mobile payment solutions that infringe PayRange's patented technology. PayRange said its patents cover not only the foundational approach of authorizing payment to unconnected machines leveraging the user's smartphone, but other innovations including viewing machine status on smartphones, firmware updating of offline machines, and retrofitting existing machines with payment acceptance devices.

"We've invested tens of millions of dollars in research and development to bring to market solutions that revolutionized the industry," Paresh Patel, PayRange founder and CEO, said in the press release. "We will vigorously defend our investment to prevent competitors from selling infringing products."

Wilson Sonsini Goodrich & Rosati, PayRange's counsel, filed allegations stating that KioSoft "blatantly disregarded PayRange's patent rights by attempting to poach PayRange's customers with a copycat product and solicit new business with a copycat product. PayRange seeks recovery of its damages, which could exceed $50 million based on lost profits, royalties and/or price erosion, as well as a permanent injunction to prevent [KioSoft's] continued and future infringement by selling, maintaining and supporting copycat products (e.g., mobile apps)."

KioSoft — which according to its website manufactures payment devices in its hardware, kiosk contactless readers, contactless cards, laundry machine contactless readers, card dispensers, receipt printers and offers a wireless option for communication — had no response to the lawsuit at this time, according to an individual contacted by this website by phone.