Litigation between TiVo and EchoStar over DVR patents in US courts recently entered its third year. In October 2008, EchoStar was ordered to pay TiVo $104 million plus interest for the "Time Warp" technology used in Dish Network's DVRs during the time it was an EchoStar subsidiary.

A subsequent hearing in February of this year in US District Court for the Eastern District of Texas took EchoStar to task for the "software workaround" it implemented to prevent a permanent injunction on Dish Network DVRs. Now, a court has ruled in TiVo's favor yet again, awarding TiVo a permanent injunction on the infringing Dish boxes, along with a further $103 million plus interest. And on top of it all, EchoStar was found to be in contempt of court.

"We are extremely gratified by the court's well reasoned and thorough decision," a statement from TiVo said today, "EchoStar may attempt to further delay this case, but we are very pleased the court has made it clear that there are major ramifications for continued infringement."

Dish Network and EchoStar responded by saying, "We are disappointed in the district court's decision finding us in contempt.  Dish Network will appeal, and will file a motion to stay the order with the Federal Circuit.  We believe a stay is warranted and that we have strong grounds for appeal.  Our engineers spent close to a year designing-around TiVo's patent and removed the very features that TiVo said infringed at trial.  Existing Dish Network customers with DVRs are not immediately impacted by these recent developments."