I found out last Friday that the Phishmark idea is likely to be covered by a patent filed by PassMark two years ago. Although I haven't read their patent application yet, discussion with Louie Gasparini, CTO of PassMark, made it clear that the broad languages used in the patent covers not just use of user/site specific visuals on the webpages for website authenticity, but also use of user/device-specific visuals in client-software for verification of UI authenticity.
Since I never planned to patent Phishmark and have many other ideas to pursue, I am not planning to disputing PassMark's patent. If you have planned to use Phishmark in your product already, I advise you to talk to PassMark. I am sorry if this turn of event affects your product. As for me, I'll have to credit one of my clients for the hours I spent implementing it.
Does this upset me? Not really. Anyone can have ideas and I have more fair share of them. Execution is important too but I care more about people and how ideas affect their lives. Phishmark was a good idea, but someone else had a similar idea and had the courage to follow through. Yes, the situation is rather awkward, but not uncommon.
As they say, if your pants are uncomfortable, keep walking.