FOLLOW US

America September 22, 2026 3 mins read

Cigna $1.8M Legal Fees Award Caps String of Patent Defeats

America ı By Rachel Moore

0 Comments

Cigna $1.8M legal Fees award

Filing multiple patent lawsuits against different companies can sometimes feel like planting several bets on the same losing horse — and that's essentially what unfolded for Alexsam Inc. this week. A Texas federal magistrate judge awarded Cigna Corp. nearly $1.8 million in legal fees after the insurance company was cleared of infringing a card payment patent, arriving just days after the same judge ruled that a shopping mall owner and a gift card company were also entitled to fee awards stemming from the very same legal battle.

The Ruling That Sealed Cigna's Victory

U.S. Magistrate Judge Roy S. Payne granted Cigna's bid for $1,757,577 in fees on Friday, in a suit originally brought by Alexsam. Back in 2022, U.S. District Judge Robert W. Schroeder III had adopted a report finding that Cigna didn't infringe the patent at the center of the dispute. Judge Payne didn't mince words about the case's unusual nature, stating it "stands out among all the cases the court has been assigned in more than 30 years" — a striking characterization from a judge with decades of cases to compare it against.

An "Extraordinary" Request, Rejected

According to Judge Payne, Alexsam had attempted what he called a "simply extraordinary" maneuver — asking the court to disregard binding precedent established by the Federal Circuit. That precedent traced back more than a decade, to a Federal Circuit decision that overturned part of a multimillion-dollar verdict against a point-of-sale system provider in the case Alexsam v. IDT, which centered on U.S. Patent No. 6,000,608 — the very same patent Alexsam was now asserting against Cigna.

A Pattern of Litigation Across Multiple Defendants

Cigna was originally sued in 2020, after Alexsam had already filed separate suits against shopping mall company Simon Property Group and gift card business Blackhawk Network in Texas federal court — meaning Cigna's case was just one thread in a much larger litigation tapestry Alexsam had woven around this single patent.

A Costly Two-Day Stretch for Alexsam

Just two days before ruling against Alexsam in the Cigna matter, Judge Payne had already granted Simon Property Group's motion for attorney fees and costs, along with Blackhawk Network's separate motion for fees and sanctions. In both of those earlier rulings, the court had similarly found that neither company had infringed the patent in question — meaning Alexsam went from potential three-way payday to a three-way fee liability in the span of less than a week.

Silence From Both Sides

Counsel for the parties did not immediately respond to requests for comment Friday, leaving the ruling to speak for itself in the immediate aftermath.

The Patent and the Legal Teams Involved

The patent at the center of this entire saga remains U.S. Patent No. 6,000,608. Alexsam is represented by Jacqueline K. Burt, Timothy C. Davis and W. Lee Gresham III of Heninger Garrison Davis LLC, Steven W. Ritcheson of Insight PLC, and William Cornelius of Wilson Robertson & Cornelius PC.

Cigna, meanwhile, is represented by Neil J. McNabnay, Ricardo J. Bonilla, Bret T. Winterle, David B. Conrad, Lance E. Wyatt and Sarika N. Patel of Fish & Richardson PC.

For Alexsam, what began as a coordinated legal offensive against three separate companies has instead ended in a costly trifecta of defeats — a reminder that in patent litigation, spreading a claim across multiple defendants doesn't multiply the odds of success, it simply multiplies the exposure when a court decides the underlying claim doesn't hold up at all.

Previous Article

Binance $100M Circle Investment Deepens Stablecoin Alliance

Read More
371 Posts

Rachel Moore

Rachel Moore is a staff writer and journalist for the USA Herald, where she specializes in high-impact reporting on international conflicts, economic shifts, and scientific advancements.

Discussion

No comments yet. Be the first to join the discussion!

Don’t Miss It
America October 12, 2026
Police Can Collect Your Phone’s Data Even When You’re Not the Target
By – Michallie Harrison
America October 12, 2026
DOJ Charges 16 People In Election Crime Cases Across The Country
By – Samuel Lopez
America October 12, 2026
State Farm $5B Payout Sends Cash…

Insurance usually works in one direction: you pay premiums, and…

By – Rachel Moore
America October 12, 2026
Sean Combs Medical Emergency Sends Fort…

Few places are as tightly sealed as a federal prison,…

By – Rachel Moore
America October 12, 2026
Ilhan Omar Raid Sparks Political Firestorm…

Most political storms announce themselves with speeches and press releases.…

By – Rachel Moore
America October 12, 2026
Lawyer’s AI Hallucinations Cost His Client…

SIDEBAR A federal judge entered default judgment against Affable Avenue…

By – Samuel Lopez
America October 12, 2026
Pre-Dawn Raid at Rep. Ilhan Omar’s…

What the Federal Search Means Federal agents searched Rep. Ilhan…

By – Samuel Lopez
America October 12, 2026
Ilhan Omar: Urgent Federal Raid Sparks…

WASHINGTON — Federal agents raided Rep. Ilhan Omar’s Washington-area home…

By – Michallie Harrison
America October 12, 2026
Ilhan Omar: Urgent Federal Raid Sparks…

WASHINGTON — Federal agents raided Rep. Ilhan Omar’s Washington-area home…

By – Michallie Harrison
America October 12, 2026
Are Russian Bots Behind Quieter Feeds?…

Ukrainian strikes on Russian data centers have fueled claims that…

By – Michallie Harrison
America October 11, 2026
Brad Pitt Lawyer Raises Sexism Concern…

By Samuel López | USA Herald LOS ANGELES — Brad…

By – Samuel Lopez
America October 11, 2026
Televangelist Jim Bakker Dies At 86…

Key Takeaways Televangelist Jim Bakker died October 5 at 86,…

By – Samuel Lopez
America October 11, 2026
Energy Ceasefire: Trump Says Russia and…

WASHINGTON — President Donald Trump said Sunday that Russia and…

By – Jackie Allen
America October 11, 2026
Allianz Partners Launched Metaportal to Transform…

Allianz Partners has introduced Metaportal, a digital travel insurance platform…

By – Tyler Brooks
America October 11, 2026
Allianz Partners Launched Metaportal to Transform…

Allianz Partners has introduced Metaportal, a digital travel insurance platform…

By – Tyler Brooks
America October 11, 2026
Social Security 2027 COLA Announcement: Retirees…

Millions of Americans receiving Social Security benefits are approaching a…

By – Rachel Moore
America October 11, 2026
Human Smuggling Ring Leader Sentenced to…

LOS ANGELES — A Guatemalan man who led a massive…

By – Jackie Allen
America October 11, 2026
Meta’s Muse AI Agent #1 in…

MENLO PARK, Calif. — Meta Platforms is betting that Muse,…

By – Jackie Allen
America October 11, 2026
Anthropic IPO Comes With Extraordinary Risks

SAN FRANCISCO — Anthropic is reportedly planning to pursue a…

By – Jackie Allen
America October 11, 2026
Paramount Skydance Aims to Reshape Hollywood…

Paramount Skydance has completed its acquisition of Warner Bros. Discovery.…

By – Jackie Allen
America October 11, 2026
Berkshire Hathaway Insurance Earnings Fall 14%…

Berkshire Hathaway’s insurance business faced mounting pressure in the second…

By – Tyler Brooks
America October 11, 2026
Wildlife Park Confirms Tiger Altai Will…

A tragic incident at Yorkshire Wildlife Park has left a…

By – Rachel Moore
America October 11, 2026
AP Poll Top 25: Georgia Claims…

Georgia has reclaimed the top spot in the AP Poll…

By – Rachel Moore
America October 11, 2026
Paramount Skydance Aims to Reshape Hollywood…

Paramount Skydance has completed its acquisition of Warner Bros. Discovery.…

By – Jackie Allen
America October 10, 2026
OpenAI Defends Firing of Three Safety…

OpenAI is defending its decision to fire three safety researchers…

By – Jackie Allen
America October 10, 2026
A.J. Armstrong: Former NFL Player’s Son…

 HOUSTON — Antonio “A.J.” Armstrong Jr., the son of former…

By – Jackie Allen
America October 9, 2026
Mother of Dead Russian Plague Lab…

What Readers Need to Know Darya Shipilova’s mother says the…

By – Samuel Lopez
America October 9, 2026
Cornell Rape Case Raises a Difficult…

SIDEBAR Major research generally places demonstrably false sexual-assault reports at…

By – Samuel Lopez
America October 9, 2026
Kevin Hart’s 2017 Sex Tape Could…

SIDEBAR Kevin Hart’s former assistant Miesha Shakes has identified both…

By – Samuel Lopez
America October 8, 2026
Hegseth’s Execution Livestream Is a Disgrace

The Pentagon plans to livestream the firing-squad execution of Nidal…

By – Michallie Harrison
America October 8, 2026
Christa Pike Survived. Can Tennessee Execute…

NASHVILLE, Tenn. — Christa Pike is conscious and speaking after…

By – Michallie Harrison
America October 8, 2026
Judge Newman Wins Independent Review As…

What Changed for Judge Newman Judge Pauline Newman has finally…

By – Samuel Lopez
America October 10, 2026
A.J. Armstrong: Former NFL Player’s Son…

 HOUSTON — Antonio “A.J.” Armstrong Jr., the son of former…

By – Jackie Allen
America October 9, 2026
NFL Pro Tyreek Hill Takes the…

What the Jury Is Hearing Lakeeta “Keeta” Vaccaro Hill testified…

By – Samuel Lopez
America October 9, 2026
Terrell Owens Sued By Nolan Wells’…

What Readers Need to Know Three young men who were…

By – Samuel Lopez
America October 3, 2026
California Sends Cease and Desist Letter…

What Matters in This Fight California regulators have reportedly ordered…

By – Samuel Lopez
America October 3, 2026
Costco Faces $5 Million Sugar-Free Lawsuit…

By Samuel López | USA Herald Costco Wholesale Corporation is…

By – Samuel Lopez
America October 2, 2026
NFL Concussion Claims Count as Separate…

What the Coverage Ruling Means Each former player’s claim counts…

By – Samuel Lopez

No posts found.

No posts found.

Signup for the USA Herald
exclusive Newsletter