The US Supreme Court on Monday set aside a patent injunction against online auctioneer eBay Inc, but also rejected a key argument made by the company that could have narrowed the rights of patent holders.
The high court unanimously reversed an appeals court ruling in favour of MercExchange, a developer of e-commerce technology that sued eBay for patent infringement, saying an appeals court had failed to apply the proper legal test in deciding whether MercExchange should be granted an injunction barring eBay from using its technology.