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Cisco wins reversal of $2.75 billion damages award because judge's wife owned stock

(Reuters) - A U.S. appeals court on Thursday ruled in favor of Cisco Systems Inc (NASDAQ:CSCO), overturning a more than $2.75 billion award of damages and royalties to Centripetal...
Cisco wins reversal of $2.75 billion damages award because judge's wife owned stock © Reuters. FILE PHOTO: The logo of U.S. networks giant Cisco Systems is seen at their headquarters in Issy-les-Moulineaux, near Paris, France, April 3, 2018. REUTERS/Philippe Wojazer/File Photo

(Reuters) - A U.S. appeals court on Thursday ruled in favor of Cisco Systems Inc (NASDAQ:CSCO), overturning a more than $2.75 billion award of damages and royalties to Centripetal Networks Inc, a Virginia company that accused it of copying its cybersecurity patents.

In a 3-0 decision, the U.S. Federal Circuit Court of Appeals in Washington said the trial judge should have disqualified himself upon learning that his wife owned Cisco stock. It said the case should be reassigned to another judge.

The trial judge, U.S. District Judge Henry Morgan in Norfolk, Virginia, learned in August 2020 that his wife owned 100 Cisco shares worth $4,688, and told the parties that the shares "did not and could not have influenced" his handling of the case.

But the appeals court said letting Morgan stay on the case risked undermining public confidence in the judicial process.

"It is seriously inimical to the credibility of the judiciary for a judge to preside over a case in which he has a known financial interest in one of the parties and for courts to allow those rulings to stand," Circuit Judge Timothy Dyk wrote for the appeals court.

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26-06-2022 17:52:06 (UTC+7)

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 EUR/USD1.0554Buy
 GBP/USD1.2272↑ Sell
 USD/JPY135.23↑ Buy
 AUD/USD0.6944↑ Sell
 USD/CAD1.2891↑ Sell
 EUR/JPY142.71↑ Buy
 EUR/CHF1.0114↑ Sell
 Gold1,828.10↑ Buy
 Silver21.130Sell
 Copper3.7365Sell
 Crude Oil WTI107.06↑ Sell
 Brent Oil113.19↑ Sell
 Natural Gas6.173↑ Buy
 US Coffee C223.40↑ Buy
 Euro Stoxx 503,533.17Neutral
 S&P 5003,911.74↑ Buy
 DAX13,118.13↑ Sell
 FTSE 1007,208.81↑ Buy
 Hang Seng21,719.06↑ Buy
 Small Cap 20001,765.74↑ Buy
 IBEX 358,244.10Sell
 BASF42.215↑ Buy
 Bayer57.79↑ Sell
 Allianz181.20↑ Sell
 Adidas170.36↑ Sell
 Lufthansa5.966↑ Sell
 Siemens AG102.62↑ Buy
 Deutsche Bank AG8.919↑ Buy
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