A Study on Non-Practicing Entities’ Excising of Rights in Terms of Their Effects on the US Patent Litigation
Date Issued
2016
Date
2016
Author(s)
Chiang, Hsin-Yu
Abstract
In recent years in the U.S., non-practicing entities’ excising of rights has already revolutionarily changed the pattern of exercising patent. Since the implementation of pro-patent policies in the 1980s, there have emerged such problems in the U.S. patent system: the USPTO massively grants patents; the jury decides substantial damages; the cost of litigation in the U.S. surges. It is completely in line with the rules of patent that non-practicing entities claim damages and injunction based on their exclusive right, which is inherently possessed by patent owners. However, due to the high cost of litigation and the unpredictability of results, many defendants would rather pay settlement to end the litigation before it is made clear whether they have violated others’ rights. Non-practicing entities take advantage of this drawback in U.S. litigation for obtaining the settlement and damages. Therefore, in 2011, the Congress amended the patent law, hoping to address the problem of granting patents massively. The International Trade Commission and the Federal Trade Commission also expressed opinions regarding the non-practicing entities’ excising of rights. Moreover, since the eBay case in 2006, the Supreme Court has changed its long-established tradition and weakened the right of patent owners. On one hand, with regard to non-practicing entities’ excising of rights, the thesis examined whether it is feasible to limit their behavior by using compulsory license, the patent misuse and FRAND when the patent is essential. On the other hand, the thesis also probed into the crucial role that non-practicing entities play in the patent system.
Subjects
non-practicing entities
patent aggregator
American Invents Act
exclusive of rights
compulsory license
patent misuse
SEP
FRAND
Type
thesis
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