Dealix to settle Autobytel patent infringement suit

Autobytel Inc., the Irvine-based online car shopping service, said Dealix Corp. had agreed to pay it $20 million to settle a 2-year-old patent infringement suit.

Autobytel’s federal suit alleged that Redwood City, Calif.-based Dealix had copied its patented system for real-time routing of consumers’ online inquiries to the appropriate car dealers.

Dealix is an Internet lead management services provider to auto dealers. The company agreed to pay Autobytel $12 million by mid-March and the rest in three annual payments.

The agreement also calls for Autobytel to license various patents to Dealix and its parent, Cobalt Group, a Cleveland-based auto dealership marketing services provider.

John O’Dell