Innoviti sues Pine Labs for infringement on its patent for technology enabling secure QR transactions at POS terminals; gets ex-parte injunction

Designed to de-risk payments at POS from local GPRS and 4G Network Problems

  • Leading payments solution provider, Innoviti today announced that in view of several instances of commercial organizations in India being involved in selling/offering for sale payment products that may infringe on Innoviti’s patent for the secure processing of QR transactions at retail POS terminals, it has now begun legal enforcement of its patent rights.
  • Innoviti has filed a suit for infringement against one such entity, Pine Labs Pvt. Ltd. before the Hon’ble City Civil Court, Bangalore, and has been granted an ex-parte ad interim injunction against them w.e.f. 16th of July,2019. This, with immediate effect, prevents Pine Labs from manufacturing, selling, distributing, advertising, exporting, offering for sale, procuring and dealing with this technology through its Plutus Smart or any other device in India.
  • Innoviti’s invention for payments processing using transaction-specific dynamic-QR technology has been granted a patent (Patent No: 309274 (Click to know more): SYSTEM FOR ESTABLISHING SECURE COMMUNICATION BETWEEN TERMINAL DEVICE AND TARGET SYSTEM) by the Indian Patent Office, with patent rights in force till 29th March 2037. This transaction-specific unique-QR technology enables processing of transactions by scanning of QR forms, through the same point-of-sale POS devices that are normally used for accepting credit/debit card payments. Innoviti has already licensed this technology to several partner financial organizations and is currently in discussion with more.
  • In everyday life, consumers normally come across a specific implementation of this transaction-specific unique-QR technology when they pay for purchases at a retail store via a QR scanning application on their mobile phone. The transaction involves scanning a unique QR-code generated from the display screen of a regular credit/debit card POS terminal. Once scanned, the POS terminal automatically initiates a payment authorization request on user’s mobile-app, which in turn results in a charge-slip being printed and/or confirmatory SMS being generated.
  • Compared to static QR based payments that have been in use, the use of transaction-specific unique QR codes enables more frictionless, less error-prone cashier-customer interaction as well as enhanced payment reconciliation leading to better fraud control and more secure transaction processing. Unlike a single static printed QR code being used across all transactions at a merchant, the unique QR is generated uniquely for each individual payment transaction. Apart from payee merchant identity, it encapsulates vital additional data like amount of purchase and a unique payment transaction ID which ensures that a QR code automatically extinguishes once the confirmation of payment against it is received, preventing fraudulent repeat payment requests.
  • Grant of this patent is a significant endorsement of the differentiated and unique technology that Innoviti has been creating since its inception for the benefit of its customers. This is evident in Innoviti today processing 4.3% of overall retail digital payment transactions in India with a throughput of around Rs. 6 lakhs/terminal/month – which is 2X of the national average. Across India, Innoviti processes around 5B$ of payments annually from over 1000+ cities, and it has filed 16 patent applications in the areas of automatic acquirer fallback, auto-settlement and others.
  • Innoviti is backed by marquee investors including Catamaran Ventures, SBI Ven Capital, Singapore and Bessemer Venture Partners, USA.

About Innoviti Technologies Pvt. Ltd., Bangalore, India.

Innoviti Payment Solutions runs a payment platform that has a unique ability to add intelligence to traditional payment channels, enhancing their value. Merchants, brands and financial service providers use these intelligent payment channels to reduce cost and drive sales of their products. Innoviti processes over Rs. 40,000 Cr. of payment transactions, about 6% of all offline merchant payment transactions in India. This also includes Rs. 1.500 Cr. of transactions involving distribution of loans to consumers and small businesses. The most capital efficient company in this space, Innoviti processes more volume for every $ raised than any other payments company. The company is backed by marquee investors such as Catamaran Ventures, SBI Venture Capital and Bessemer Venture Partners.

For more information, please visit – https://innoviti.com/