Late last week, the U.S. Court of Appeals for the Federal Circuit turned down Vonage Holdings’ request for an en banc rehearing of a lower court verdict that held Vonage liable for infringing VoIP-related patents held by Verizon, thus triggering a higher payment for Verizon under a recent settlement agreement signed by the companies. In September, a three-judge panel of the Federal Circuit court affirmed a Virginia district court ruling that Vonage had violated two Verizon patents that concern the translation of names into phone numbers or IP addresses on landline networks. (The appeals court, however, remanded the district court’s verdict on a third Verizon patent that covers the transmission of VoIP calls on WiFi networks after concluding that the lower court had “improperly construed one of the disputed terms” in that patent.) Under its October 25 settlement with Verizon, Vonage agreed to pay Verizon either $80 million or $117.5 million for previous and ongoing use of the patents in question, with the amount to be determined by the outcome of Vonage’s then-pending request for a Federal Circuit en banc rehearing of its decision upholding the district court’s findings. Asking the Federal Circuit to overturn the lower court verdict, Vonage argued that the presiding judge misconstrued key claims regarding the patents at issue and had given the jury improper instructions on the interpretation of certain technical terms. As a consequence of the court’s denial of Vonage’s motion for rehearing, Vonage will be required to submit $117.5 million to Verizon and to pay an additional $2.5 million to charity. While expressing disappointment in the decision, a Vonage spokesman said, “we are pleased to continue putting litigation behind us.”