Replies to post #82832 on UnifiedOnline Inc fka UOIP

[long uoip]

perhaps only judgements greater than $1.9 billion garner mention in cisco financials ;)

https://investorshub.advfn.com/boards/read_msg.aspx?message_id=156107226

FORM 10-Q, CISCO SYSTEMS, INC
April 25th, 2020
CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(e) Indemnifications
In the normal course of business, we indemnify other parties, including customers, lessors, and parties to other transactions with us, with respect to certain matters.
We have agreed to indemnify against losses arising from a breach of representations or covenants or out of intellectual property infringement or other claims made against certain parties. These agreements may limit the time within which an indemnification claim can be made and the amount of the claim.
At this time, we are working with Charter to calculate the correct amount of indemnification. We do not believe that our indemnity obligations under our agreement will be material.
We also have been asked to indemnify certain of our service provider customers that have been subject to patent infringement claims asserted by Chanbond, LLC (“Chanbond”) in the United States District Court for the District of Delaware on September 21, 2015. Chanbond alleges that 13 service provider companies, including among others, Comcast Corporation (“Comcast”), Charter Communications, Inc. (“Charter”), Time Warner Cable, Inc. (“TWC”) (subsequently acquired by Charter), Cox Communications, Inc. (“Cox”), and Cablevision Systems Corporation (“Cablevision”), infringe three patents by providing high speed cable internet services to their customers utilizing cable modems and cable modem termination systems, consistent with the DOCSIS 3.0 standard, provided by us and other manufacturers generally used in combination with each other. Chanbond seeks monetary damages. Chanbond's case against Cox is currently set for a jury trial starting on August 18, 2020, and the other cases against the remaining service provider defendants have not yet been set for trial. We believe that the service provider defendants have strong non-infringement, invalidity and other defenses. Due to uncertainties surrounding the litigation processes, we are unable to reasonably estimate the ultimate outcome of the cases at this time, but should Chanbond prevail in its cases against the service provider defendants, we do not believe that any potential indemnity liability would be material.
In addition, we have entered into indemnification agreements with our officers and directors, and our Amended and Restated Bylaws contain similar indemnification obligations to our agents.
It is not possible to determine the maximum potential amount under these indemnification agreements due to our limited history with prior indemnification claims and the unique facts and circumstances involved in each particular agreement. Historically, payments made by us under these agreements have not had a material effect on our operating results, financial position, or cash flows.

https://s2.q4cdn.com/951347115/files/doc_financials/2020/q3/9d6b7b1d-1f32-43eb-87c4-c72ab1770507.pdf

[TonyJoe1957]

Hmmmmmm...excellent point!
Perhaps the impact of Chanbond is relatively significant or material.
Very nice!
You have just brightened up my day!
8)

[BrokeAgent]

Cisco has a habit of burying things in their financials. Chanbond wasn't mentioned at all in their q3 2015 financials. While Arris reported the lawsuits in their legal section mentioning Chanbond and their indemnity agreements with "certain" of their clients, Cisco vaguely alluded to "other" potential legal actions at the end of the legal section and referred to a note at the bottom of the notes section mentioning their customers being sued. Chanbond was never mentioned. Though I'm not sure they'll have much success burying a $1.9bn damage award.

[BrokeAgent]

There was probably a vague reference somewhere in their quarterly right after the suit was filed.