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Secure Matrix LLC v. Retail Concepts, Inc. — Authentication Patent Dispute | PatSnap
Patent Litigation

Secure Matrix LLC v. Retail Concepts, Inc. — Case Dismissed in 41 Days

Secure Matrix LLC filed a patent infringement action against Retail Concepts, Inc. in the Texas Southern District Court, asserting US8677116B1 covering systems and methods for authentication and verification. The case resolved in just 41 days via a joint stipulation of dismissal, with all claims against the defendant dismissed with prejudice and counterclaims dismissed without prejudice.

Resolution time
41days
41 days from filing to closure — well below the district average for patent infringement cases
Patents asserted
1
US8677116B1 — systems and methods for authentication and verification
Outcome
Case Dismissed
Joint stipulation granted; claims dismissed, each party bearing its own costs
Cost ruling
Own Costs
Each party bears its own costs, expenses, and attorneys' fees per the dismissal order
Published by PatSnap Insights Team · Verified by PatSnap Eureka Data
Case overview

A rapid exit: authentication patent suit dismissed in six weeks

On 31 March 2026, Secure Matrix LLC filed a patent infringement action against Retail Concepts, Inc. in the Texas Southern District Court (Case No. 4:26-cv-02570), before Judge George C. Hanks, Jr. The suit centred on US8677116B1, a patent directed to systems and methods for authentication and verification. Secure Matrix was represented by Rabicoff Law LLC, while Retail Concepts engaged Fish & Richardson LLP.

The case closed on 11 May 2026 — just 41 days after filing. The recorded basis of termination is 'Case Dismissed.' The docket order states that a joint stipulation of dismissal was granted, under which all claims against Retail Concepts, Inc. were dismissed with prejudice and all counterclaims against Secure Matrix LLC were dismissed without prejudice. Each party was ordered to bear its own costs, expenses, and attorneys' fees.

A resolution within 41 days is notably swift for patent litigation, suggesting the parties reached an understanding very shortly after the complaint was filed. The specific terms underlying the joint stipulation are not disclosed in the available public record. What remains unknown is whether any licensing arrangement, covenant, or commercial agreement accompanied the dismissal.

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Case at a glance
CourtTexas Southern District Court
JudgeGeorge C Hanks, Jr
FiledMarch 31, 2026
ClosedMay 11, 2026
Duration41 days
OutcomeCase Dismissed
Verdict causeInfringement Action
BasisCase Dismissed
Prior Art Intelligence
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Case data sourced from PACER / Texas Southern District Court via PatSnap Eureka Litigation Intelligence Explore similar cases ↗
Case timeline

Filing to Case Dismissed in 41 days

41 days from filing to closure — well below the district average for patent infringement cases

Case timeline: Complaint filed MAR 31 2026 — 41 days total Horizontal timeline showing the three key events in Secure Matrix LLC v Retail Concepts, Inc. from filing to resolution. Source: PACER, Texas Southern District Court. MAR 31 2026 Complaint filed Pre-trial proceedings MAY 11 2026 Case Dismissed 41 DAYS TOTAL
Patent at issue

US8677116B1 — Systems and Methods for Authentication and Verification

Publication No.US8677116B1
Application No.US13/963941
Patent details
ProductSystems and methods for authentication and verification
Cited in actionMarch 31, 2026
Technical brief · sourced from PatSnap patent database
Patent figurePatent figure
Representative claim (1 of 3 independent)
1. A method of using a computer system to authenticate a user seeking to conduct at least one interaction with a secured capability provided by a computer, the method comprising: using the computer system to receive a first signal from the computer providing the secured capability, the first signal comprising a reusable identifier corresponding to the secured capability, the reusable identifier assigned for use by the secured capability for a finite period of time; using the computer system to receive a second signal from an electronic device being used by the user, the second signal comprising a copy of the reus…
Technical background
CROSS-REFERENCE TO RELATED APPLICATIONS This application claims the benefit of priority to U.S. Provisional Appl. No. 61/729,266, filed Nov. 21, 2012 and U.S. Provisional Appl. No. 61/772,110, filed Mar. 4, 2013, both of which are incorporated in their entirety by reference herein. BACKGROUND 1. Field This application is generally directed to systems and methods for authentication and verification of users, and more specifically to such systems and methods utilizing a mobile or portable device. 2. Description of th…
Patent family
3 family members across 3 jurisdictions (CA, US, WO)
PatSnap Eureka · FTO Search Agent
Should your team run an FTO analysis against US8677116B1?

Any organisation deploying systems or methods for user authentication and verification — including retail platforms, payment processors, and identity management vendors — should assess whether their implementations fall within the claims of US8677116B1. Secure Matrix LLC has demonstrated willingness to assert this patent in active litigation, and the with-prejudice dismissal against Retail Concepts does not extend protection to other potential defendants.

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Official verdict

Official order — verbatim text

ORDER GRANTING JOINT STIPULATION OF DISMISSAL The request to dismiss all claims against Defendant Retail Concepts, Inc. WITH PREJUDICE and all counterclaims against Plaintiff Secure Matrix LLC WITHOUT PREJUDICE is hereby GRANTED. Each party shall bear its own costs, expenses, and attorneys’ fees.
Source: PACER Docket, Case 4:26-cv-02570, Texas Southern District Court

The court's order granting the joint stipulation reflects an agreed resolution: the plaintiff's infringement claims under US8677116B1 are extinguished as to this defendant, while the defendant's counterclaims remain available for future assertion. The each-party-bears-own-costs provision is consistent with a negotiated exit, though the underlying commercial terms — if any — are not disclosed in the available record.

PACER case 4:26-cv-02570 · Public docket record Explore in Eureka ↗
Dismissal terms

Case dismissed: what the joint stipulation means for both parties

Legal mechanism

Joint stipulation of dismissal: how it works

A joint stipulation of dismissal is a procedural instrument by which both parties agree to end the litigation and ask the court to enter the dismissal. Here, the court granted the request, terminating all claims against Retail Concepts with prejudice and all counterclaims against Secure Matrix without prejudice. The specific terms that prompted this agreement are not disclosed in the available public record.

Agreed dismissal — court-granted
Plaintiff outcome

Claims dismissed with prejudice: Secure Matrix cannot re-file

Dismissal of the plaintiff's infringement claims with prejudice means Secure Matrix LLC is barred from bringing the same claims under US8677116B1 against Retail Concepts, Inc. again. Whatever drove the resolution — and the record does not say — Secure Matrix's ability to pursue this defendant on this patent is extinguished. Each party bears its own fees, so no attorneys' fee award was made against the plaintiff.

With prejudice — no re-filing
Defendant outcome

Counterclaims survive: Retail Concepts retains future options

All counterclaims brought by Retail Concepts against Secure Matrix were dismissed without prejudice, meaning they are not barred from being reasserted in future proceedings if circumstances warrant. The asymmetry — plaintiff's claims with prejudice, defendant's counterclaims without prejudice — is a notable structural feature of this resolution. Fish & Richardson secured a cost-neutral exit for their client.

Without prejudice — options preserved
Commercial implications

Authentication patent risk in retail: read the dismissal signal

The speed of this resolution — 41 days — and the asymmetric dismissal terms suggest the parties found common ground quickly. For retail and e-commerce operators using authentication or verification systems, US8677116B1 remains a live patent held by Secure Matrix LLC. Companies in this space should assess their exposure to this patent, particularly given that claims were dismissed with prejudice only as to this specific defendant.

Patent still active — sector exposure remains
Legal analysis based on PACER docket records for case 4:26-cv-02570 and PatSnap Eureka litigation intelligence Search PatSnap Eureka ↗
Parties and representation

Full party and counsel information

RoleNameTypeDetail
PlaintiffSecure Matrix LLCCompany/Search in Eureka ↗
DefendantRetail Concepts, Inc.Company/Search in Eureka ↗
Plaintiff counselIsaac Philip RabicoffAttorneyCounsel for Secure Matrix LLCSearch in Eureka ↗
Plaintiff law firmRabicoff Law LLCLaw FirmRepresenting Secure Matrix LLCSearch in Eureka ↗
Defendant counselAlexander Hale MartinAttorneyCounsel for Retail Concepts, Inc.Search in Eureka ↗
Defendant counselLance Eric Wyatt , Jr.AttorneyCounsel for Retail Concepts, Inc.Search in Eureka ↗
Defendant counselNeil J McNabnayAttorneyCounsel for Retail Concepts, Inc.Search in Eureka ↗
Defendant law firmFish & Richardson LLPLaw FirmRepresenting Retail Concepts, Inc.Search in Eureka ↗
Presiding judgeJudge George C Hanks, JrJudgeTexas Southern District CourtSearch in Eureka ↗
R&D signals

R&D signals in the authentication and verification IP space

Forward-looking patent and R&D intelligence derived from Secure Matrix LLC v. Retail Concepts, Inc. — tracking portfolio activity, technology trends, and white-space opportunities in authentication systems.

Patent portfolio

Secure Matrix LLC's assertion footprint beyond US8677116B1

Secure Matrix LLC is the plaintiff in this authentication patent action, asserting a single patent. Understanding the breadth of its broader portfolio — including related continuation or divisional filings in the authentication and identity verification space — is critical for any company operating in this domain. Monitor Secure Matrix's filing activity and any additional assertion campaigns.

Plaintiff portfolio watch
Technology landscape

Filing trends in authentication and identity verification patents

Authentication and verification technology is a high-activity filing domain, encompassing multi-factor authentication, biometric verification, token-based access, and behavioural identity systems. Tracking recent patent filings in this space can reveal where established players and new entrants are staking IP claims — and where exposure to assertion risk is rising for retail and e-commerce operators.

Active filing domain
Defendant IP posture

Retail Concepts, Inc.: IP position in retail technology

Retail Concepts, Inc. engaged Fish & Richardson — a leading patent defence firm — and achieved a cost-neutral exit with counterclaims preserved. Examining the company's own patent portfolio and any defensive IP filings in retail technology can indicate how it is positioned to respond to future authentication-related assertions or to leverage its IP in commercial negotiations.

Defendant IP assessment
White-space opportunity

Adjacent innovation gaps in verification system architecture

As foundational authentication patents like US8677116B1 age, adjacent white-space opportunities emerge in areas such as decentralised identity verification, zero-trust authentication frameworks, and AI-driven anomaly detection for access control. R&D teams in retail technology and cybersecurity should map these adjacencies to identify protectable innovation gaps before assertion activity intensifies.

Innovation adjacency map
Related litigation

Similar patent infringement cases involving authentication systems in Texas

Cases involving authentication and verification patents asserted in the Texas Southern District Court — including comparable assertion patterns and early dismissal outcomes.

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Secure Matrix LLC patent enforcement history, Texas Southern District Court case history, Secure Matrix LLC's full IP portfolio, and comparable case analysis
Authentication patent cases TXRabicoff Law assertions 2025–26Fish & Richardson early exitsVerification IP disputes retail
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Strategic implications

What this case signals for the authentication IP landscape

A 41-day dismissal in a Texas patent case involving authentication systems carries signals for IP strategy across retail and adjacent technology sectors.

Swift exits can signal portfolio-wide licensing strategy

When an infringement action resolves in under six weeks via joint stipulation, it is consistent with a licensing-driven assertion strategy. Retail and e-commerce companies using authentication and verification systems should audit their exposure to US8677116B1 and related portfolio assets held by Secure Matrix LLC.

Fish & Richardson's cost-neutral exit sets a benchmark for defendants

Retail Concepts secured dismissal with no fee award and preserved its counterclaims without prejudice. Companies facing similar assertion patterns should note that early engagement by specialist patent defence counsel can produce structurally favourable dismissal terms, even before substantive litigation begins.

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Full strategic analysis in PatSnap Eureka
Unlock full strategic analysis of this authentication patent case at district court level in the Texas Southern District — including portfolio risk and venue signals.
Dismissal leverage analysisVenue risk in Texas SDPortfolio exposure map
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Frequently asked questions

Secure v Retail — key questions answered

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Monitor authentication patent risk across your product portfolio

Use PatSnap Eureka to run FTO searches against US8677116B1, track Secure Matrix LLC's assertion activity, and receive alerts on new authentication patent filings affecting the retail and e-commerce sector.

Disclaimer

This page is compiled from public court dockets and third-party patent and litigation data via PatSnap Eureka, and is provided for general informational purposes only. The information shown — including party names, patent and application numbers, dates, case status, outcomes, and any analysis — may be incomplete, may not reflect the most recent filings or legal status, and may contain errors or omissions. Verify all details against official court records (for example, PACER) and the relevant patent office before relying on them.

Nothing on this page constitutes legal advice or a legal opinion on the validity, infringement, enforceability, or scope of any patent or case, and no attorney‑client relationship is created by its use. Any description of an outcome (such as a dismissal, settlement, or consent judgment) is a general summary, not a legal determination. All patents, trademarks, and company or law‑firm names are the property of their respective owners. PatSnap makes no warranty as to the accuracy or completeness of this content and disclaims, to the fullest extent permitted by law, all liability for reliance on it. For advice on a specific matter, consult qualified legal counsel.

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