Kodak Asks Court to Void Injunction

Eastman Kodak asked the Sixth Circuit on July 22 to void a preliminary injunction in March blocking sales of Kodak’s Versamark printer ink. Kodak said the lower court should not have issued an order to stop Kodak from cutting its ink jet ink prices.

According to Law360, Kodak believes that U.S. District Judge Michael R. Barrett applied the wrong legal standards for Collins Inkjet Corp. Also, Kodak noted that “the company accused Kodak of enforcing steep surcharges and other penalties on Versamark customers that continue to use Collins ink” before the injunction.

“The court found that the injunction served the public interest, but did not address Kodak’s argument that the public interest is not served by undermining Collins’ incentives to compete by discounting its ink prices. It also found irreparable harm to Collins, but failed to consider Collins’ ability to protect its market share by discounting,” stated Kodak in its brief.

In addition, Kodak observed that “Judge Barrett didn’t consider whether Collins could lower its ink price to offset Kodak changing its pricing policy”. Plus, Judge Barrett’s ruling was wrong because Collins never proved that “Kodak’s prices were below its average variable costs.”

Law360 revealed that “attorneys for both parties declined comment.”