Xerox Can Pursue Claims Against 3Com

Xerox Corp. has won a ruling that will allow the world’s biggest copier company to pursue claims that 3Com Corp. infringed a Xerox handwriting technology patent used in 3Com’s top-selling Palm hand-held computers. 3Com, based in Santa Clara, Calif., made the disclosure in a quarterly filing with the Securities and Exchange Commission. Stamford, Conn.-based Xerox said that the case will resume in active litigation, but that it remains open to a negotiated settlement. 3Com has filed to sell a stake of its Palm unit in an initial public offering. News of the ruling came after trading closed on the New York Stock Exchange, where Xerox closed up 56 cents at $23.75.

Separately, 3Com said it is being sued by Walt Disney Co. for $15 million for alleged breach of contract. The lawsuit was filed Nov. 4 by Disney Interactive Inc., which develops and distributes family entertainment, educational CD-ROMs and video games. The suit, filed in Los Angeles County, alleges breach of a purported contract for the bundling of Disney Interactive video products with 3Com’s modems. The action was disclosed in the SEC filing. No trial date has been set. 3Com shares fell 13 cents to close at $46 on Nasdaq. Shares of Burbank-based Disney rose $4.75 to close at $35.88 on the NYSE.