NEW YORK (TheStreet) -- Shares of VirnetX (VHC) - Get VirnetX Holding Corporation Reportare falling 45.27% to $2.37 on heavy trading volume this morning after the U.S. District Court for the Eastern District of Texas issued a new order on the company's pending litigation against Apple (AAPL), saying VirnetX must retry its two patent infringement cases against the iPhone maker separately rather than as one consolidated lawsuit.
VirnetX is an Internet security software and technology company based in Zephyr Cove, NV. Over 1.35 million of the company's shares have traded so far today vs. the stock's daily average of 678,000.
The company's two cases against Apple involve unresolved remanded issues related to damages owed to VirnetX for infringement by Apple's original VPN-on-Demand product and an alleged infringement of Apple's original FaceTime product.
The first case is now scheduled to begin on September 26, and the second will be retried afterwards.
"We are disappointed by the Court's decision to vacate its prior ruling on consolidation and ordering the parties to retry the cases as two separate matters," said VirnetX CEO Kendall Larsen in a company statement.