Yonan Patent Litigation Techniques before USDCs and the

Transcription

Yonan Patent Litigation Techniques before USDCs and the
Patent Litigation Techniques
before USDCs and the
USITC; Section 337 Strategy
for Design Patents
Daniel E. Yonan, J.D.
Director
STERNE KESSLER GOLDSTEIN AND FOX PLLC
Washington DC
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
Model Scenario
• Foreign company enters U.S.
market / gains market share
• Your client loses market share
• Response?
– Review patent portfolio and consider
complaint for patent (design)
infringement
• But where, e.g., USDC, USITC, or
other?
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
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Basics: USDC Patent Infringement
1. Jurisdiction
– Personal / SMJ / 35 USC 271
2. Standing
– Patent “ownership” (title)
3. Courts
– Article III (94 USDCs)
– “Key” jurisdictions / ~36 month to trial
– Juries available / USMJs
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
2
USDC Patent Infringement (con’t)
4. Remedy
– Damages
– Injunction (Ebay)?
5. Nuances
–
–
–
–
FRCPs / notice pleading / local rules
Settlements frequent
Mediation (mandatory?)
“Local counsel” required
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
3
Basics: USITC Patent Infringement
1. Jurisdiction
– In rem / 19 USC 1337 (Section 337)
– Extraterritorial trade statute
2. Standing
– “IP” title / domestic industry / no
injury requirement
3. Tribunal
– 6 ALJs (ground rules) / Commission
– 7-9 months to trial / no jury (D.C.)
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
4
USITC Patent Infringement (con’t)
4. Remedy
– Exclusion (GEO / LEO) / CDOs
– No monetary remedy
5. Nuances
–
–
–
–
–
Overall speed (target dates)
APA / CFRs
Fact pleading / no counterclaims
3-ring circus (OUII)
Public interest component
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
5
USDC Litigation Techniques
• Strategy dictates choice of forum, so
chose wisely
– Filing court(s) / defendants
•
Be cognizant of defendant challenges
– Overall goal?
• “Key” battles
– Discovery / Markman / MSJs / Trial
– Divide and conquer (multiple defendant
scenarios)
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
6
USITC Litigation Techniques
• Significant tactical advantages
–
–
Complainant prepares strategy before filing
Respondents MUST gain leverage or else (e.g.,
redesigns)
• Dynamics management
–
–
–
•
Client and appetite for risk
ALJ tendencies / OUII
New rules / CFR amendments
“Key” battles
–
Discovery / Markman? / Hearing / Commission review
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
7
Why Is The USITC So Popular?
Number of 337 Investigations since 1976
70
60
50
40
30
20
10
0
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
8
Percentage of NME Investigations
33%
70
60
11%
50
16%
40
2%
17%
10%
30
24%
7%
12%
5%
20
5%
28%
7%
10%
18%
18%
10
0
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
9
Complainants by Country
Austria
Belgium
Denmark
Finland
France
80
70
Germany
Holland
Netherlands
Sweden
Switzerland
United States
60
50
Hong Kong
Japan
Korea
Singapore
Taiwan
Australia
Bermuda
British Virgin Islands
British West Indies
Canada
Cayman Islands
United Kingdom
40
30
20
10
0
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
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Respondents by Country
60
All Other
Canada
40
Germany
Other Europe
20
0
80
Hong Kong
Other Asia
60
Korea
Taiwan
40
Japan
China
20
0
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
11
What About Design Patents?
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
12
Number of 337 Investigations by ALJ
and Subject Matter Since FY2007
57
Bullock
35
Charneski
52
Esssex
35
Gildea
45
Luckern
42
Rogers
Shaw
Pender
Pender
Shaw
0
10
Non-Patent
20
Chemical
30
Electrical
40
Mechanical
50
Pharmaceutical
60
Design
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
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Section 337 Design Facts
• 45 design investigations since 1976
• Compare 836 total investigations over same
time (5.3%)
• Only 7 resulted in no violation
• 10 GEOs issued / 10 LEOs issued
• 4 pending
1.
2.
3.
4.
337-TA-780 (iPad Cases)
337-TA-788 (Thumb drives)
337-TA-796 (iPhones)
337-TA-823 (Vibrators)
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
14
Section 337 Design Future
1. Enforcement trend mirrors primary
technology (Electronics)
– Compare Pharmaceuticals (3%)
2. “Ordinary observer test”
– “Point of novelty” not required
– Easier to prove infringement?
1. Multi-patent lawsuits (utility + design) to
increase chances at violation
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
15
Summary
• There is a logic to forum selection
• Use the USDC v. USITC nuances
to your advantage
• Budget: always run the costbenefit analysis
© 2012 Sterne, Kessler, Goldstein, & Fox P.L.L.C. All Rights Reserved.
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