(Alliance News) - Sycurio Ltd on Friday said it looks forward to appealing a recent court ruling in competitor PCI-PAL PLC's favour, after the latter said Sycurio's case "has no merit".

In December, PCI-PAL, which provides secure cloud payment solutions for business communications, announced that the UK High Court had ruled in its favour in a patent case brought by Sycurio.

At the time, the High Court of Justice (Patents Court) ruled that Sycurio's UK patent was invalid and not infringed by PCI-Pal's Agent Assist product.

Mrs Justice Bacon ordered Sycurio to make a substantial interim payment of costs, subject to certain terms and conditions. She also refused Sycurio permission to appeal.

However, on Friday, PCI-PAL and Sycurio announced that the UK Court of Appeal had granted Sycurio's application for permission to appeal the ruling. The court also extended the stay of interim costs payment to PCI-Pal, pending further briefing.

PCI-PAL said that it "will of course contest [the appeal] and strongly believes it has no merit and has been brought in a continuing attempt by Sycurio to disrupt and put pressure on PCI-PAL".

However, Sycurio noted comments by Lord Justice Arnold who, in granting the permission to appeal, said: "Notwithstanding the force of the points made by the respondents, I consider that the grounds of appeal have a real prospect of success."

Sycurio said in response that it "welcomes this conclusion and looks forward to being able to put its case in full to the Court of Appeal later this year."

Sycurio's General Counsel Kevin Clancy said that "while we respect the work of the High Court, Sycurio believes that the court got it wrong on both validity and infringement.

"Specifically, Sycurio believes that the High Court did not properly determine the meaning of the claims of the UK patent at issue and that, when they are properly understood, PCI Pal's Agent Assist product infringes those claims."

Paul Greensmith, Sycurio's chief financial officer, commented: "If the Appeal Court continues the stay [of costs] and Sycurio prevails on its appeal, it is expected that Sycurio will not have to pay these amounts to PCI Pal and that PCI Pal will have to pay a substantial portion of Sycurio's trial costs and appellate costs."

Sycurio has also filed a separate lawsuit in Federal Court in the United States against PCI-PAL, alleging infringement of four US patents. It said it expects the case to go to trial in early 2025.

On Monday afternoon in London, PCI-PAL shares were down 1.3% at 59.25 pence each.

By Emma Curzon, Alliance News reporter

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