SOURCE: Allied Security Trust

Allied Security Trust

January 26, 2010 09:00 ET

Allied Security Trust Announces Availability of Major Patent Portfolio: Providing Opportunity for Anyone to Take a License Prior to the Upcoming Portfolio Sale

LAMBERTVILLE, NJ--(Marketwire - January 26, 2010) - Allied Security Trust (AST) announced today that Crescent Moon LLC, a company affiliated with AST, will sell 286 patents it purchased in 2009 from NEC Corporation. AST operates under a "catch and release" model that is unique among defensive patent organizations. AST members purchase patents for defensive purposes, secure the necessary licenses to ensure freedom of operation, and then return the patents to the marketplace for sale. These sale proceeds help to reimburse AST members for their investment in acquiring a license. Under the rules of Trust, AST or its affiliated companies seek to sell all acquired patents within one year of the date of acquisition.

"This is the first time since our formation that we will make licenses available to companies outside AST before instituting a portfolio sale," said Dan McCurdy, CEO of AST. "This is a special case. We do not expect to regularly license patents beyond our membership before a sale," continued McCurdy, "but given the unique size and scope of this portfolio, AST and its members decided it was appropriate to give others in the industry an opportunity to 'inoculate' themselves."

"We are making the patent license available at a price significantly less than the highest price paid by a contributing AST member company to demonstrate the purpose of AST -- to enhance freedom of action and minimize patent threats, rather than to profit from patent purchases. That said, there are other members of AST that paid significantly less for their license than the price now being made available to outside companies," continued McCurdy. "We are hopeful AST's actions will encourage other companies to consider joining AST."

The patents being offered for sale and license are divided into four lots: (1) Desktop, Notebook, Servers and Systems; (2) Audio, Video, Graphics and Signal Processing; (3) Microprocessor and Memory Devices; and (4) Computer Peripherals, Displays and Accessories.

Red Chalk Group, LLC, with offices in Elk Grove Village, IL and Munich, Germany, will be managing the sale and licensing activities. Licensees can obtain a license for a price of US $1 million per lot, or US $3 million for all four lots. Mr. Nick Stabinsky of Red Chalk ( will be responsible for receiving license or purchase requests. Licenses will be available beginning immediately through April 15, 2010. Letters of interest to purchase the portfolio must be received by April 15, 2010, and the portfolios will be sold on or before July 31, 2010.

About Allied Security Trust

AST ( is a member-owned Delaware Statutory Trust that identifies and analyzes high-technology patents being sold on the market, circulates those to its 16 member companies (each with annual revenues > US$1 billion), and combines funds of interested member companies to purchase patents. It then sells the patents subject to licenses granted to those members, with proceeds returned to the members that funded the purchase. To date, it has invested US $40M to purchase 400 patents. For patent portfolios that have been sold by the Trust or are currently on the market, 82% of the money originally invested by Trust members to obtain their patent license has been returned to them at the time the patents are sold, making the Trust by far the most economical collaborative mechanism in the world for members to obtain licenses to patents that may otherwise fall into the hands of an adversarial party.

Contact Information

  • Contacts:
    Daniel P. McCurdy
    Allied Security Trust


    609-397-8215 (office)
    908-578-0065 (mobile)
    810-963-0123 (fax)
    Email Contact

    Linda K. Biel
    Vice President, Business Development
    Allied Security Trust I
    1-212-362-5870 (home office)
    1-512-695-2027 (mobile)
    1-928-962-5870 (fax)
    Email Contact