Question-and-Answer Session
Operator
The question-and-answer session will now begin. (Operator Instructions). Please standby for your first question, sir. And our first question is coming in from Dan Katz from Apex Capital. Please go ahead.
Dan Katz - Apex Capital
Hello gentlemen and congrats on continued good business momentum.
Paul Ryan
Thank you.
Dan Katz - Apex Capital
Can you explain why you had such good cash generation in the quarter please?
Paul Ryan
Well, the margins as Clayton said, rather expanded to 48%, I think we’re beginning to get licensing deals done in many cases earlier in the life cycle of the licensing program before we bring in legal action which improves our margins and our partner’s margins. And part of it is just timing, we [inaudible] -- we did some licensing deals towards the end of the quarter and received it. So, part of it’s a timing issue, I bring in the cash and part of its margins.
Dan Katz - Apex Capital
That’s pretty good. And then, in terms of the Yahoo case, can you go through the possible outcomes of that August 3 date, that you referred to and then, you know, would you expect Yahoo to try and negotiate a one-time payment rather than pay that royalty over the remaining nine years of the path?
Paul Ryan
Well, anything is possible. The August 3 hearing is -- yeah we’ve asked the court to enter the verdict for the damages as well as enhanced damages based on the willful infringement, as well as other matters before the court including the usage of the technology from the original November 2008 date to the present.
So, the court will rule on those either before or at the latest by August 3 and that certainly will set any negotiating tone, I would think, it would give additional information to both parties upon which to base their discussions.
The later period, it relates to the royalty rate that the jury awarded and that would also be the discussions, ongoing discussions and that issue really isn’t scheduled to be resolved by the court until September 30.
Yeah, as you know with these particular types of cases Danny, either is a variety of potential solutions including settlements and/or any combination of that and ongoing royalties.
Dan Katz - Apex Capital
Okay. And then, can you give a update on the environment or different jurisdictions, different venues that you’ve chosen, I know at one point you’ve been headed one direction, you sort of diversify that just what’s your strategy and what’s the general environment for that, choosing of those jurisdictions at this stage?
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