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Acquiring and Defending Patents

Patent Infringement Suits

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A patent infringement suit will take several years to impact the company's bottom line.

Notify Their Customers

Notification of the infringing companies customers or potential customers of infringement can cause their customers to withhold or cancel orders; this has an immediate effect on the bottom line. Since many organizations are motivated by short-term profit, they may pay more attention to the loss of current or expected jobs than they do a patent infringement suit.

Triple Damages

Many management people are not aware of changes in patent law that allows triple damages. A company is legally responsible for knowing about current patents, either granted or pending. Ignorance is not an acceptable excuse. They can be forced to pay up to triple damages and your attorney fees under certain conditions. Punitive damages are usually awarded for willful patent infringement.

Juries tend to take a dim view of companies stealing from individual inventors. They are especially sympathetic when the company is large or foreign owned. If polite persuasion didn't work it does not hurt to play hardball. It is very important that you understand both your and your adversary’s strengths and weaknesses before you get into an all out war.

Gather Intelligence

Gather as much information on an infringing company as possible before notifying them because they will take measures to block your acquisition of information as soon as they realize you are a serious threat. Contact past employees. Companies that steal intellectual property usually shaft employees and an ex-employee that has not been treated well can be a gold mine of information that will make your patent infringement case easier to pursue.

Current employees often will help you if you ensure that their employer doesn't know of their involvement. This is especially true of employees who have been mistreated that don't feel they can leave, either because the job market is poor or because their age makes it difficult for them to find another employer. It is very important that you protect them as a source; failure to protect them is morally and ethically wrong and will result in a valuable source of information drying up.

Most companies that have dishonest management have some honest people still on their staff. You should be on the lookout for these persons. They are often stuck in a job that they don't like. You should alert companies with which you have a good relationship that have openings about these persons. A fringe benefit of helping place persons at reputable companies is that they can afford to help you gather evidence about a past employer. Do not request that they supply you with confidential information while they are still employed by the infringer. Doing so is not legal.

While investigating a patent infringement case be vigilant for evidence of other wrong doing by the infringing organization. Organizations that have questionable ethics often break the law in other areas besides intellectual property, and exposure of that wrongdoing can lead to the disreputable organization deciding to settle your claim.

Expect Mud Slinging

If the battle escalates expect your opponent to accuse you of inequitable conduct, a fancy term that means you committed fraud to get your patent. Infringers like inequitable conduct charges for several reasons, not the least of which is that they can go after all your personal assets if they prevail. Both declaratory judgment and inequitable conduct are tools often used by large entities against an inventor. Both allow them to take depositions from you, which they will compare and distort to their advantage.

A patent requires a long-term commitment. Be ready to invest years, thousands of man-hours, and thousands of dollars to successfully bring your idea to market. Don't get discouraged; all worthwhile things in life require perseverance.

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