the meaning of patent infringement and patent litigation

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Russell Jeide & Scott Cromar Thursday, May 23, 2013 TVE2 IP Series Class 4: The Meaning of Patent Infringement and Litigation The recipient may only view this work. No other right or license is granted.

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Knobbe Martens’ patent attorneys Russell Jeide and Scott Cromar hosted a seminar series on intellectual property basics for Temecula’s business community. Entrepreneurs, investors, startups, inventors and anyone interested in learning how intellectual property and patents can help their business will benefit from this presentation.

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Page 1: The Meaning of Patent Infringement and Patent Litigation

Russell Jeide & Scott Cromar

Thursday, May 23, 2013

TVE2 IP Series

Class 4: The Meaning of Patent Infringement and Litigation

The recipient may only view this work. No other right or license is granted.

Page 2: The Meaning of Patent Infringement and Patent Litigation

2 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

TVE2 Intellectual Property (IP) Series

• Class 1:"What intellectual property is, and why it may be important to your startup"

• Class 2: "How to enter the patent world strategically and economically"

• Class 3: "How to file for a patent"

• Class 4: "The meaning of patent infringement and patent litigation"

• Class 5: "How to use copyrights, trademarks, and trade secrets to your advantage"

• Class 6: TBA (probably continuation of Class 5)

Page 3: The Meaning of Patent Infringement and Patent Litigation

3 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

Russell Jeide

• Patent Attorney for 12 years

• Partner at Knobbe Martens

• B.S. Electronics Engineering Technology

• Specializes in patent prosecution, legal opinion work, and licensing

• Experience in telecommunication systems, computer architecture, computer software, Internet business methods, and mechanical devices

Page 4: The Meaning of Patent Infringement and Patent Litigation

4 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

Scott Cromar

• Patent Agent for 3 years; Patent Attorney for 1

• Associate at Knobbe Martens

• B.S. Electrical Engineering; M.S. Electrical and Computer Engineering

• Specializes in IP counseling and patent preparation and prosecution

• Experience with software, computers, electronics, and semiconductors

Page 5: The Meaning of Patent Infringement and Patent Litigation

5 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

Disclaimer

• This presentation is for information purposes only and does not constitute legal advice.

• This presentation does not establish any form of attorney-client relationship.

Page 6: The Meaning of Patent Infringement and Patent Litigation

6 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

Today:

• Something Different:

– Top 10 Questions & Answers About Patent Litigation

• Quiz to follow!

Page 7: The Meaning of Patent Infringement and Patent Litigation

©2012 Knobbe Martens, Olson & Bear, LLP all rights reserved. ©2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved. 7

Top 10 Q’s & A’s About Patent Litigation

Page 8: The Meaning of Patent Infringement and Patent Litigation

8 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

1. Can I Infringe a Patent If I Am Not Aware of It?

• YES

• Lack of knowledge and/or intent are not defenses

• Infringement = make, use, sell, offer to sell, import

– During term of patent

– Without authority

• Beware willful infringement

Page 9: The Meaning of Patent Infringement and Patent Litigation

9 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

2. How Do I Tell Whether a Patent is Infringed?

• Compare the claims of the patent with the accused product or process

• Literal Infringement:

– Each claim limitation identically present in the product/process

• Doctrine of Equivalents Infringement:

– Insubstantially different from claim limitations

Page 10: The Meaning of Patent Infringement and Patent Litigation

10 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

Novelty/Validity vs. Infringement Analysis

• Novelty/Validity (“Is the patent valid?”)

– Comparing claims to knowledge existing at time of application filing – referred to as “prior art”

• Includes patents, patent application publications, website, products, articles, sales presentations, discussions, etc.

• Infringement (“Is my product infringing?”)

– Comparing product that launched after patent issued to claims of the patent

Page 11: The Meaning of Patent Infringement and Patent Litigation

11 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

Claim Interpretation – Infringement Analysis

• Infringement only if a claim “reads” on device/process

– Device/process must exhibit at least each of the claim’s features

– Device/process includes all claim features = infringement

• Even if device/process includes additional features

• If device/process does not include all claim features = probably not infringing

– Unless infringing under doctrine of equivalents

Page 12: The Meaning of Patent Infringement and Patent Litigation

12 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

Infringement Example

• Claim:

An apparatus comprising:

a seating platform; and

at least four legs supporting the seating platform.

• Does a chair with five legs infringe this claim?

• Does a stool with three legs infringe this claim?

• Does a four legged chair with a back infringe this claim?

• Does a chair with four wheels infringe this claim?

Page 13: The Meaning of Patent Infringement and Patent Litigation

13 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

Design Patent Infringement

• Infringement if:

– In the eye of an ordinary observer, giving such attention as a purchaser usually gives [and in light of the prior art], the two designs are substantially the same.

Page 14: The Meaning of Patent Infringement and Patent Litigation

14 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

Avoiding Infringing The Patents Of Others

• Consider conducting a “right to practice” search/analysis before launching new feature or service

• Avoid discussing competitors’ patents in writing (even via informal email communications)

• Promptly respond to possible infringement problems

• Consider purchasing or licensing patents

Page 15: The Meaning of Patent Infringement and Patent Litigation

15 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

3. What Does an Infringement Notice Letter Mean?

• Oftentimes written as an offer to license

• Someone thinks you may infringe their patent

• Take it seriously and investigate

• Talk to a patent attorney!

• Should You Save Your Documents and Emails?

– If involved in lawsuit or anticipate litigation:

• YES

– Applies to all relevant records of company

• Consider Declaratory Judgment action (in preferred jurisdiction)

Page 16: The Meaning of Patent Infringement and Patent Litigation

16 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

4. Will My Adversary See My Confidential Docs?

• During litigation, you may be required to produce confidential information to opposing attorneys

• “Protective order” may restrict access to certain persons, and only for the lawsuit

Page 17: The Meaning of Patent Infringement and Patent Litigation

17 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

5. We Have Insurance; What Do We Do?

• Promptly review all insurance and determine whether a portion of legal fees may be reimbursable

• Promptly obtain legal advice from insurance attorney

Page 18: The Meaning of Patent Infringement and Patent Litigation

18 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

6. Can I Challenge the Validity of a Patent?

• Issued patents are presumed valid

• But, that presumption can be overcome with clear and convincing evidence of invalidity

– Show the invention is not new (“anticipation”)

• Each element of claim is in a single prior art reference

– Show the invention would have been “obvious”

• PHOSITA would have readily been able to make invention with existing knowledge

• One or multiple prior art references

Page 19: The Meaning of Patent Infringement and Patent Litigation

19 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

7. Why Do Most Cases Settle?

• 95% of IP lawsuits are resolved before trial

• High cost of litigation incentivizes early settlement

• May not make economic sense given amount at stake

• Business distraction

• Customers may be drawn into dispute

• May cast a cloud of uncertainty over business

Page 20: The Meaning of Patent Infringement and Patent Litigation

20 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

8. What is Claim Construction?

• Claims are the most important part of a patent

– Define the scope of the protected invention

• Claim construction = determining the meaning and scope of the claims (“construing”) in litigation

• Determined by a court, which looks to:

– Claim language

– Patent specification

– Prosecution history

Page 21: The Meaning of Patent Infringement and Patent Litigation

21 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

Claim Construction Example

• Claim:

An apparatus comprising:

a seating platform; and

at least four supporting members supporting the

seating platform.

• What does “supporting members” mean?

Page 22: The Meaning of Patent Infringement and Patent Litigation

22 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

9. What Is a Summary Judgment Motion?

• A written request that a court decide an issue without need for a trial

• Usually addresses questions of infringement and validity

• Typically filed after discovery and claim construction

• “No genuine dispute as to any material fact”

Page 23: The Meaning of Patent Infringement and Patent Litigation

23 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

10. Where Can I Get More Info. About IP Litigation?

Your friendly neighborhood patent attorneys!

Page 24: The Meaning of Patent Infringement and Patent Litigation

©2012 Knobbe Martens, Olson & Bear, LLP all rights reserved. ©2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved. 24

Quiz: Myth or Truth?

Page 25: The Meaning of Patent Infringement and Patent Litigation

25 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

Quiz: Myth or Truth?

“Once a patent application has been filed, no one else can legally use the invention.”

No. 1:

No. 2:

“If I get a patent on an invention, then I don’t have to worry about infringing someone else’s patent.”

Myth!

Myth!

Page 26: The Meaning of Patent Infringement and Patent Litigation

26 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

Quiz: Myth or Truth? – Cont.

No. 3:

No. 4:

“Any invention can be patented if no one else has yet filed for a patent on it.”

“If I describe the invention in too much detail in my patent application, the patent will be too narrow and easy to get around.”

Myth!

Myth!

Page 27: The Meaning of Patent Infringement and Patent Litigation

27 © 2013 Knobbe, Martens, Olson & Bear, LLP all rights reserved.

Quiz: Myth or Truth? – Cont.

No. 5:

No. 6:

“I can get a patent and still leave out important details which I can continue to protect as a trade secret.”

“It’s better not to obtain patent

protection because patents are very

expensive to defend.”

Myth!

Myth!

Page 28: The Meaning of Patent Infringement and Patent Litigation

Russell Jeide

Scott Cromar

[email protected]

[email protected]