In what has surely been the most riveting legal battle of 2009, Psion Teklogix has waived all claims to the word “Netbook” as used in marketing past, present and future.

The battle erupted when Intel began to refer to the wildly popular class of cheap sub-notebooks as netbooks. A British PDA maker filed for trademark of the “Netbook” name in 1996 for a since discontinued handheld device called the Netbook Pro. Late in 2008, the PDA maker now known in Canada as Psion Teklogix began sending cease and desist letters to any company involved in the usage of the “Netbook” marketing term.

After going to court and squabbling about for a bit, both Intel and Psion have come to a mutual agreement over the word and agreed to waive all responsibility in the proceedings.

“The litigation has been settled through an amicable agreement under which Psion will voluntarily withdraw all of its trademark registrations for ‘Netbook,’” reads a Psion statement. “Neither party accepted any liability. In light of this amicable agreement, Psion has agreed to waive all its rights against third parties in respect of past, current or future use of the ‘Netbook’ term.”