Further to our story in Tuesday's newsletter, JVL has released a statement, which states that a federal court in Philadelphia, US, found none of its popular line of countertop video game machines infringed any patent held by Merit Entertainment.

The court found that it was in fact past products, all of which were discontinued by 2006, that infringed Merit’s patent.

Merit was awarded approximately US$1.6m in reasonable royalties, rather than the $24m it had demanded for lost profits.

In the statement Peter Guterres, chief executive officer of JVL, said: "We are gratified by the jury’s verdict. It demonstrates that the product redesign we undertook when we learned in 2003 of Merit’s infringement claims was completely successful.

"We appreciate that Merit is not entitled to injunctive relief and that the jury rejected Merit’s lost profit demand."