Patent Disputes Resolved
Birchtech Successfully Ends All Patent Challenges, Expands into Water Treatment Market
Anonymous
Birchtech Corp. (NYSE American: BCHT) has ended all Inter Partes Review (IPR) challenges to its mercury removal patents, closing out a seven-year legal battle that began with 43 defendants and ends with none. All companies that previously contested the validity of Birchtech's SEA® technology are now permanently barred from bringing future patent challenges, according to GlobeNewswire.
The resolution clears the path for Birchtech to collect on a $78.4 million court judgment and pivot aggressively into the North American water treatment market. CEO Richard MacPherson called the outcome an "unequivocal validation" of the company's technology.
Seven Years of Patent Fights, Now Completely Over
Birchtech — formerly known as ME2C Environmental — first sued 43 defendants in July 2019, targeting coal-fired power plants and refined coal companies that used its SEA® mercury-capture technology without paying licensing fees. SEA® is a chemical additive that coal plants need to meet federal mercury emission rules. According to ADVFN, the company pursued a "business-first" patent strategy, fighting on multiple legal fronts simultaneously for years.
A key turning point came in January 2026, when the USPTO Director issued a precedential ruling in PacifiCorp v. Birchtech. The ruling stopped companies from filing multiple simultaneous IPR petitions — a tactic used to stall litigation. That decision effectively cut off the industry's main legal escape route, Market Screener reported.
$78 Million Judgment and Willful Infringement Findings
In March 2024, a federal jury in Delaware found the "CERT" defendants — a group of refined coal companies including CERT Operations II LLC and Alistar Enterprises LLC — guilty of willful, inducing, and contributory infringement. The initial award was $57.1 million. By December 2025, the court added pre-judgment interest, bringing the final judgment to $78.4 million, according to Investing.com.
The CERT defendants had argued they held an "implied license" — claiming that buying materials related to the process gave them automatic rights to use the patented method. Courts rejected that defense in June 2025. Birchtech has also collected roughly $37 million from separate settlements with other utilities since 2020, GlobeNewswire reported.
Birchtech Bets Big on Water Treatment Next
With its air business now generating stable revenue, Birchtech is pushing into water treatment. The company is targeting PFAS — so-called "forever chemicals" — and the nuclear-grade ion exchange market through its SEA-IX™ resin technology. Finimize analysts estimate the addressable market for that product line at $185 million to $255 million annually.
Q1 2026 revenue hit $4.2 million, up 32% year-over-year. MacPherson said the company could "double its market share" in air emissions within two years. New CFO Michael Mioska, appointed in May 2026, is overseeing collection of the $78 million judgment and managing the financial transition, according to GlobeNewswire.
Stock Volatility Shadows an Otherwise Clean Legal Win
Despite the legal victories, Birchtech's stock fell 57% in the six months before this announcement. The company's market cap sits at roughly $48.93 million — small for a firm holding a $78 million judgment. Investing.com notes the company still posted a net loss of $3.03 million over the last 12 months, making it unprofitable even after years of settlement wins.
Finimize analysts called Birchtech a "high-risk, high-potential" play. The permanent barring of all SEA® patent challenges gives the company a near-monopoly over this form of mercury capture for the remaining life of North America's coal fleet. Whether the water treatment pivot pays off will determine if the legal wins translate into lasting shareholder value.
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