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After a U.S. District Court recently ruled that Palm’s Graffiti handwriting recognition software infringes upon a Xerox patent, Palm has been ordered to post a US$50 million bond as it appeals the ruling, according to Reuters. The bond is intended to ensure that Xerox receives some of the damages it is due should Palm be found guilty; the court stopped short of preventing Palm from selling its PDAs pending the appeal, as Xerox had requested. Xerox originally filed suit against Palm-creator U.S. Robotics, which was later acquired by 3Com and then spun off as Palm Inc., in 1997. Should the appeals court find that Palm willfully infringed upon Xerox’s patents, Palm could face up to US$150 million in damages.

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