Under the American rule, each party to a lawsuit pays its own attorney’s fees. However, the American rule can be circumvented by statute enacted by the government or by contract through agreement by the parties. In patent litigation, fee shifting is appropriate by statute under 35 U.S.C. § 285. Section 285 states that "the court in exceptional cases may award reasonable … [Read more...]
Patent damages is defined under 35 U.S.C. §284 and is a monetary award to the claimant to compensate for the infringement, but in no event is less than a reasonable royalty for the use of the invention together with interest and costs.
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Summary of Halo case In Halo Electronics, Inc. v. Pulse Electronics, Inc. (S.Ct. June 13, 2016), the Supreme Court recently redefined the standard for determining when enhanced damages under 35 U.S.C. §284 is appropriate and when the Federal Circuit during appellate review can reverse the decision of the district court to award or withhold enhanced damages. Halo directly … [Read more...]
Bottom line: Proving willful infringement is becoming increasingly difficult. Even if the accused infringer is ultimately found liable, and even if it ignores a patent and/or volitionally infringes the patent, the infringer can be absolved of liability for willful infringement if the infringer, during litigation, puts forth a reasonable defense to patent infringement or patent … [Read more...]
Bottom line: Patent damages for patent infringement can be whittled down in circumstances where the patented invention is directed to only one component of a multi-component system, or the claimed invention contains both conventional and inventive elements. To increase the damage award, the inventive component or the essential part of the invention should be characterized as … [Read more...]
Bottom line: Halo Electronics, Inc. v. Pulse Electronics, Inc. (Fed. Cir. 2014) suggests that substantial arguments presented during litigation (i.e., post litigation) for invalidity of a patent may be used as a defense to willful patent infringement even for acts of patent infringement that occurred prior to litigation. In 2002, Halo sent letters to Pulse with an … [Read more...]