Patent Litigation Financing: Everything You Need to Know Patent Litigation: What is it? Patent litigation, generally referred to as patent infringement, involves legal proceedings brought by the injured party for the use, copying, or sale of the injured party’s invention. Essentially, the inventor is alleging that the defendant illegally used, copied, or sold the invention without the express approval of the inventor. Overview Patent litigation financing has its risks. The more complex and larger the patent litigation suit is, the greater the financial risk. And like any finance company, third party funding companies are always looking to maximize financial outcome with the least amount of risk. Investors want to find value in what they are investing in and not …show more content…
Based in New York City, this is the U.S. branch of the Australian litigation funder IMF Bentham. It was launched in NYC in 2011. Pros and Cons of Patent Litigation Financing Patent litigation is risky and costly. Notably, the average patent lawsuit in the U.S. costs roughly $3 million in attorney fees alone. Additional fees, inclusive of discovery, expert witnesses, court reports, etc. can add an additional $1 million. A newer solution for those unable to fund their own suits is something called “third party funding.” Common candidates include individual inventors, small entities, and universities as they generally don’t have the financial resources to self-finance a patent suit. Before considering this option, you’ll first want to consider the factors associated with receiving funding and going through the process of patent litigation. One reason that patent litigation is so risky is that, if the defendant in the suit can find some sort of similarly situated prior product that was created before your patent was obtained, then a court may find your patent invalid after the fact. Thus, you’ve now spent money on obtaining the patent as well as investing in a third party to fund the
It is important to protect a patent because of the potential economic value of the intellectual property. New machinery or industry processes can be sold or licensed to companies wanting to use the innovation for their own
Tort reformers believe that courts must reduce the ability of defendants’ liability in order to avoid economic decline. In the years to come, the proposals likely to generate the biggest dispute include malpractice and class-action reform, limits on noneconomic and punitive damages, and a legislative solution to asbestos legation (Rushmann, 2006). There are many lawsuits. But the frivolous lawsuits should not be taken seriously and not cost our courts and citizens time and/or money.
...this action will like come at huge cost, considering a few years ago there was a lawsuit against a drug manufacturer that reformulate its product at the end of it patent life. Even though court held the complaints to be void, the case came under public scrutiny at that time.
Lehman, Bruce. 2003. “The Pharmaceutical Industry and the Patent System”. International Intellectual Property Institute. Pages 1-14.
...ile a lawsuit against the government. The government is trying to do this to create budget cuts due to the fact that they could be investing the money elsewhere.
“Protecting your intellectual property is crucial to your business.” (Hinson, 2014) When business have intellectual property that is going to be popular or helpful in advancing there business, they have to take measures to ensure that the ideas or prototypes are protected from other that may steal the intellectual property. In the United States, many laws or safeguard steps have to be followed in order to preserve the intellectual property. A business owner has the right to protect the intellectual property, because the failure to do so could result in demise of the business itself.
Frivolous Lawsuits As children our parents tried to instill in all of us good moral judgment and common sense. However, if I was to open the newspaper I would surely find any number of articles on the latest frivolous lawsuit, these being even more outrageous than the ones in yesterday’s paper. How have we as a society, which is completely capable of rational thinking, allowed ourselves to become so intertwined in the blaming game?
Patents have always represented a mutually beneficial a relationship between inventor and public. The inventor gets 17 years of basic monopoly on his invention so that he ...
...to work around. In a 2002 case, Madey v. Duke, the Court of Appeals for the Federal Circuit made it clear that academic institutions could be held liable for patent infringement even in a nonprofit research.
The name of my company is ELECT Services, LLC, which is an acronym for Electronic Legal Educational Clinical Transcript Services. I protected my idea with an internet patent. My premise being that it is common for many legal, educational and medical systems to be back logged due to large volumes of information being handled. There is a lack when it comes to the proper storage and distribution of informational reports also known as transcripts. Many institutions utilize different systems and as such, it is often difficult to transfer information from system to system. Typically, information must first be extracted from the original system and then sent to a second system. This information must then be re-entered into the second system in a new format. This conversion process from one system to another takes time and as a result there is a period of delay from the time a document is sent from one system, to the time that the document can actually be accessed in a second system. While the individual systems
Advantages and Disadvantages of Alternative Dispute Resolution. Alternative Dispute Resolution (ADR) involves dispute resolution processes and techniques that fall outside of the government judicial process. There has been moves against ADR in the past by entities of many political parties and their associates, despite this, ADR has gained inclusive acceptance among both the broad community and the legal profession in past years. In fact, many courts now entail parties to remedy to ADR of some type, usually mediation, before allowing the parties' cases to be tried. The increasing attractiveness of ADR can be clarified by the increasing caseload of traditional courts, the perception that ADR imposes fewer costs than litigation, a preference for confidentiality, and the desire of some parties to obtain larger control over the selection of the individual or individuals who will decide their dispute.
This includes how litigious Americans are, the recent explosion of tort litigation, frivolous lawsuits, litigation lottery, and jumbo verdicts, This argument assumes that Americans are suing one another every chance they get. If this were true, it would be a significant concern. There is little empirical support for the alleged explosion of tort litigation. For example, from the 1980s to the early 2000s, tort cases filed in Texas, generally considered an active tort reform state (September 2003 Texas started their major reform capping general damages to $250,000), district courts decreased from 9.4% of civil filings to 8.6%. Also in Texas, between 1995 and 2000, "the filing rate for all tort cases decreased by 31.7% (Daniels & Martin, 2015). Daniels and Martin also reference an interesting study performed by Professor Bert Kritzer on the screening performed by plaintiffs' attorneys. Kritzer's research found that nearly 70% of potential personal injury claims, and over 80% of potential malpractice claims, were declined representation because of either a lack of evidence of liability or small damages. Thus, it is hard to believe that frivolous lawsuits are actually a serious problem if attorneys are screening the majority of the potential claims that are brought to them. Explosion of tort litigation is an example of how popular belief often overcomes statistical
afford it. The claim can easily be countered because an individual can find ways to incorporate
Patent refers to the owner whom is the right granted of an object, product or a process that he/she invented. This will prevents others from making, using, importing or selling the invention without his/her permission. A person gives a new technical solution or a description of what are the solutions to solve the problem of the technical. Once they approved, the patent will last for 20 years from the date of filing. Other than using patent to prevent others from exploiting your invention, you can employ it to raise funds for your business, license it to third parties for commercial returns or sell the patented invention.
Patents claims focus of the mechanism, principles and components surrounding those ideas. Patents are the strongest of the law to protect the intellectual property. Patent law is based on a very strict liability standard, making a business owner’s strongest option for intellectual property protection. Patents often make use of reverse engineering. Through reverse engineering, they see if patented inventions are in used by another company. Patents have an expiration date; the design patent protect design, shape, configuration and appearance of any invention for 14 years, and utility patents that protect functional makeover and new invention last for 20