---
title: "Markforged and Continuous Composites agree to settle lawsuit"
url: https://www.voxelmatters.com/markforged-and-continuous-composites-agree-to-settle-lawsuit/
date: 2024-09-24
modified: 2024-09-24
lang: en
author: "Edward Wakefield"
description: "Markforged Holding Corporation, the developer of the Digital Forge manufacturing platform, has entered into a Settlement and Patent License Agreement in connection with the patent infringement litigation brought by Continuous..."
categories:
  - "Composites"
  - "Patents"
tags:
  - "top news"
image: https://www.voxelmatters.com/wp-content/uploads/2024/09/5d35dbd7b22e674894947329_news-fon19-hero-img-640x400.jpg
word_count: 480
---

# Markforged and Continuous Composites agree to settle lawsuit

[Markforged Holding Corporation, the developer](https://www.voxelmatters.directory/company/markforged/) of the Digital Forge manufacturing platform, has entered into a Settlement and Patent License Agreement [in connection with the patent infringement litigation](https://www.voxelmatters.com/markforged-to-pay-17-34-million-to-continuous-composites/) brought by [Continuous Composites Inc., a continuous fiber](https://www.voxelmatters.directory/company/continuous-composites/) 3D printing technology developer. The Settlement Agreement resolves all claims and counterclaims in this litigation, which is currently pending before the United States District Court for the District of Delaware.

As previously disclosed in public filings, in July 2021, [Continuous Composites filed a patent-infringement lawsuit against Markforged](https://www.voxelmatters.com/court-rejects-continuous-composites-patent-claims-against-markforged/). Four patents originally asserted against Markforged, comprising a total of nineteen patent claims, were removed from the case in April 2023, leaving four claims from a patent that was added to the case in 2022. Two of the four claims from the remaining patent were tried to a jury in April 2024.

On April 11, 2024, the jury found one of the two remaining patent claims Continuous Composites asserted at trial against Markforged to be invalid and not infringed. However, the jury also found that Markforged had infringed the other patent claim and awarded monetary damages to Continuous Composites in the amount of $17.34 million. Through its post-trial motions, Continuous Composites also asserted claims for additional royalty payments for sales of certain products manufactured and/or sold by Markforged in the United States after December 31, 2023.

![Markforged and Continuous Composites enter Settlement Agreement under which Markforged will pay Continuous Composites a total of $25 million.](https://www.voxelmatters.com/wp-content/uploads/2023/04/Markforged_new_HQ_89b9599e-09dc-5f42-b32c-76e53e37ed8a.jpg)

Under the terms of the Settlement Agreement, Markforged will make an upfront payment of $18 million to Continuous Composites, which is expected to occur in the fourth quarter of fiscal year 2024, and three additional installment payments thereafter of $1 million, $2 million, and $4 million in the fourth quarters of fiscal years 2025, 2026, and 2027, respectively.

In consideration of such payments, the Settlement Agreement provides for a dismissal of all claims with prejudice, cross-licenses of the parties’ respective patent portfolios, a mutual release of claims for liabilities arising prior to the effective date of the Settlement Agreement, and mutual covenants not to sue. As a condition to the effectiveness of the Settlement Agreement, Markforged also entered into a Security Agreement with Continuous Composites under which the company granted Continuous Composites a security interest in, among other assets, Markforged’s patent intellectual property rights. The Settlement Agreement acknowledges that neither party admitted to any liability or wrongdoing with respect to the claims alleged in the Continuous Composites Lawsuit.

The Settlement Agreement also requires the parties to file a joint dismissal of the dispute with prejudice with the District Court to dismiss all claims and counterclaims with prejudice. The Settlement Agreement is subject to review by the District Court.

“We are pleased to announce this Settlement Agreement which, if approved by the District Court, will bring this litigation to a successful conclusion that will eliminate this distraction to Markforged and the uncertainty over the outcome of this litigation for all of our stakeholders,” said Shai Terem, President and Chief Executive Officer of Markforged.