Defendant
1 case as defendant.
The Clearing House Payments Company, LLC, commonly known as The Clearing House, is a private banking association and payments company headquartered in New York City. Founded in 1853, it is the oldest payments company in the United States and is owned by a consortium of the world's largest commercial banks, including JPMorgan Chase, Bank of America, Citigroup, and Wells Fargo. The company and its advocacy affiliate, The Clearing House Association L.L.C., operate under "The Clearing House" brand name.
The Clearing House is a systemically important financial market utility that owns and operates core U.S. payments system infrastructure. It is the only private-sector operator of an Automated Clearing House (ACH) and wire transfer system in the country, clearing and settling nearly $2 trillion daily. Its major services include the Clearing House Interbank Payments System (CHIPS) for high-value wire transfers, the Electronic Payments Network (EPN) for ACH transactions, and the SVPCO network for check image exchange. In 2017, it launched the RTP® network, a real-time payment system for all U.S. financial institutions. The Clearing House processes approximately half of all commercial ACH and wire volume in the U.S.
Based on the available data, The Clearing House Payments Company is an operating company that defends itself in patent litigation. It has been named as a defendant in one tracked case and has not appeared as a plaintiff. This defensive posture is typical for a large operating company that provides technology-based services. The case was filed in the U.S. District Court for the Eastern District of Texas, a venue historically popular with patent plaintiffs.
The single tracked case is DataTreasury Corporation v. U.S. Bank et al. DataTreasury is a well-known patent assertion entity that has sued numerous banks and financial services companies over patents related to check imaging and electronic transaction processing. The company has reportedly secured over $350 million in licensing fees through its litigation campaigns, which began in the early 2000s. The Clearing House was one of several defendants in a broader litigation campaign by DataTreasury targeting the banking industry's adoption of electronic check processing technology.
This case went to trial, resulting in a March 2010 jury verdict of willful infringement and a $27 million damages award, which was later doubled. The parties ultimately settled in December 2011.