TriZetto, McKesson resolve patent disagreement

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ASP (application service provider) technology provider the TriZetto Group announced Tuesday an agreement that settles the patent litigation brought by McKesson Information Solutions LLC. McKesson had alleged that clinical editing functionality included in TriZetto's Facets, QicLink, and ClaimFacts software products infringed upon McKesson's U.S. Patent No. 5,253,164.

TriZetto will pay McKesson a one-time royalty fee of $15 million for a license that covers past and future use of TriZetto products and services by all existing TriZetto customers. As part of the settlement, TriZetto will no longer include its clinical editing functionality in versions of Facets sold to new customers with more than 100,000 members, beginning Nov. 1, 2006. In these cases, new customers may choose their clinical editing solution from available third-party providers, including McKesson, according to a release regarding the agreement.