Red Hat has settle a patent infringement lawsuit with FireStar Software for $4.2 million. Red Hat attempted to fight the lawsuit by saying that open source licenses (especially in the context of the GNU) was incompatible with payment of patent royalties. Red Hat used the GPL to for refusing to offer customers implementations of AVC/H.264 video codec standards.
FireStar filed the lawsuit at the U.S. District Court for the Eastern District of Texas in 2006. FireStar alleges that their patent #6,101,502 was being infringed by Hibernate, which was developed by JBoss. JBoss was acquired by Red Hat around the same time that FireStar approached them.