Toyota loses appeal against Prius patent case

Toyota’s appeal for a case it lost last year against American technology company Paice LLC has been rejected by the U.S. Supreme Court, which means the Japanese giant will now have to pay Paice up to $4.3 million in damages. The case involved Toyota using a technology for its petrol-electric Prius hybrid that was originally patented by Paice back in 1992.

The technology involves a microprocessor that accepts torque information from both the internal combustion engine and electric motor, reports Bloomberg. According to Paice, the hybrid market didn’t take off until Toyota revamped its vehicle program using technology that Paice had originally patented long before the launch of the first hybrid in late 1997.

Toyota may also have to pay Paice royalties for future hybrid vehicles it produces using the disputed technology. The appeals court told a trial judge to revisit his order that Toyota pay $25 for every Prius, Highlander and Lexus RX400h sold.