The Federal Circuit revived a nearly decade-old VLSI Technology LLC chip patent suit against Intel Corp., saying a federal judge in Northern California was wrong to toss the case before trial.

The decision turned on a stipulation the parties signed early on in the litigation that the appeals court said barred Intel’s case-ending extraterritoriality defense.

Intel had convinced the US District Court for the Northern District of California that VLSI’s patent claims required an alleged infringer to perform a “measuring” step domestically while the multi-core chips its lawsuit targeted were tested abroad in facilities in Malaysia and Costa Rica. …