Plano Encryption Technologies, LLC v. Etsy, Inc.
dismissed- Docket:
- 2:16-cv-01050
- Filed:
- 2016-09-23
Plano Encryption Technologies, LLC sued Etsy, Inc. The case was dismissed.
Defendant
1 case as defendant.
Etsy, Inc. is a publicly traded company (NYSE: ETSY; formerly listed on Nasdaq) founded in 2005 and headquartered in Brooklyn, New York. It was incorporated as Indieco, Inc. and renamed Etsy, Inc. in June 2006. Based on its most recent filings, Etsy reported fiscal 2025 revenue of roughly $2.88 billion, consolidated gross merchandise sales of about $11.9 billion, and approximately 2,375 employees; it is not a subsidiary of any larger parent.
Operations. Etsy operates two-sided online marketplaces connecting independent sellers with buyers, primarily Etsy.com, a marketplace for handmade, vintage, and craft-supply goods, along with seller services such as on-site advertising and shipping labels. Alongside the core marketplace it has operated Depop, a fashion-resale marketplace. Etsy sold its musical-instrument marketplace, Reverb, in June 2025, and agreed in February 2026 to sell Depop to eBay for roughly $1.2 billion, a transaction reported as expected to close in the second quarter of 2026. Etsy is therefore an operating e-commerce company, not a patent-holding entity.
Litigation posture. The tracked data show Etsy as a defendant in one case and a plaintiff in none — the profile of an operating company defending against patent assertion rather than an entity asserting patents itself. The sole tracked suit is Plano Encryption Technologies, LLC v. Etsy, Inc., No. 2:16-cv-01050, filed September 23, 2016 in the U.S. District Court for the Eastern District of Texas, Marshall Division, before Judge Rodney Gilstrap, and closed August 25, 2017. That venue is a well-known plaintiff-friendly patent forum.
Context. Plaintiff Plano Encryption Technologies is a Texas LLC and wholly owned subsidiary of Delaware-based Koba Holdings, LLC; RPX reported it had a single officer/employee, Bradley D. Liddle, and owned at least six patents, four originating with Intel. It asserted U.S. Patents 5,991,399 and 5,974,550 against Etsy's mobile apps, part of a campaign that began against banks and mobile-banking platforms and later extended to consumer apps including Best Buy, Shutterfly, Groupon, JCPenney, and Match.com. Etsy's only tracked patent exposure is thus a single NPE suit over mobile-app encryption technology, since resolved.
Plano Encryption Technologies, LLC sued Etsy, Inc. The case was dismissed.