[Satellite Today 07-03-09] A U.S. Federal Court of Appeals granted EchoStar Corp.’s request to stay a contempt order imposed by the U.S. District Court in June, pending the outcome of EchoStar’s appeal, EchoStar announced July 2. 

The contempt ruling stems from a 2006 judgement favoring TiVo in an infringement lawsuit against Dish Network. As a result, Dish Network was ordered by a federal judge to stop using the digital video recording service that TiVo said violated its patent for the device, and to pay $192.7 million to TiVo in damages and interest. Also in early June, a federal appeals court temporarily stayed a district court’s ruling that would’ve forced Dish Network to turn off 4 million of its digital video recorders.

"We are pleased that the Federal Circuit has blocked the district court’s injunction pending our appeal. The Federal Circuit found that EchoStar met its burden of demonstrating the requisites for a stay, including, at a minimum, that we have a substantial case on the merits. As a result of the stay, our customers can continue using their Dish DVRs," EchoStar and Dish Network said in a joint statement.

"We are confident that the District Court judge’s thorough and well-reasoned decision finding EchoStar in contempt of court for violating the injunction and awarding further damages will be upheld once the Federal Circuit has the opportunity to review the merits of the case," TiVo said in a statement following the ruling.