The world’s largest corporation Apple Inc was told to pay a large penalty for the violation of the patent law. During the legal proceedings it was revealed that Apple illegally used inventions of another company and was ordered to pay over $500 million to the plaintiff. A federal judge supported the demands of Texas-based Smartflash and considered them to be reasonable. Apple will have to reimburse the losses to Smarflash caused by illegal sales of Apple products that use iTunes software. Apple used three patents worth $4.5 million; however, unauthorized use of these technologies. Smartflash asked for more than $850 million in damages. Interestingly, Apple borrowed three of Smartflash patents on storing users’ data and used them for creating its own online payment service. According to the court materials, Tim Cook’s company got access to the technologies ten years ago making good use of the presentation of one of Smartflsh’s tops. Apple became interested in the information but it ignored the fact that it was necessary to pay royalties on sales to the software developer. This infringement led to the legal action.