New Financial Concepts in Patents
October 07, 2003
The bear market, the uncertain economy and pre-war jitters caused companies to seek to increase their cash reserves and to look aggressively for opportunities to increase their revenue. Certain advanced financial strategies recently used in financial markets may offer companies the opportunity to do just that. In particular, in-house patent attorneys and consultants should seriously consider recommending patent monetization as an alternative to standard patent licensing. The emerging monetization strategies that provide alternatives to licensing are founded on the growing appreciation that patents are actually an asset class in a financial sense as compared to a mere asset from an accounting sense. An asset class, as distinct from an asset, comprises a collection of assets that have in common systematic or macroeconomic drivers of price and risk.
Testimony Of Expert Under Daubert And FRE 702 Upheld
October 07, 2003
The Federal Circuit ruled that a district court properly performed the 'gatekeeping' role required of it by the U.S. Supreme Court in <i>Daubert v. Merrell Dow Pharmaceuticals, Inc.</i> and by Rule 702 of the Federal Rules of Evidence when it allowed the testimony of plaintiff's damages expert. <i>Micro Chemical, Inc. v. Lextron, Inc.</i> (Fed. Cir., Jan. 24, 2003). The plaintiff, Micro Chemical, alleged that defendants Lextron and Turnkey Computer Systems, Inc. infringed Micro Chemical's U.S. Patent No. 5,315,505 for a computerized medical records system for tracking health histories and medical treatments of livestock.
ITC Proves Useful Resource for Life Science Firms
October 07, 2003
The U.S. International Trade Commission (ITC)'s power to seal the country's borders against importation of products covered by U.S. patents makes this federal agency a powerful resource for patent holders. Still, many life sciences companies doing business in this country fail to utilize this quasi-judicial body to protect their pharmaceuticals, medical devices and other patented products.
Can Old Products Be Patented Based On Newly Discovered Properties?
October 07, 2003
Entrenched in patent law is the principle that a challenge against a patent for anticipation or obviousness must be based on 'prior art,' and not on disclosure in the patent itself. Also entrenched in patent law is the principle that an otherwise known product cannot be patented merely because one discovers new and unobvious properties possessed by that product.
Foreign Filing Beyond the U.S. Patent
October 07, 2003
Foreign counterpart patents are an important tool in the hands of a company or inventor with a well thought out patenting strategy. In contrast, they can be an expensive, unproductive and time-consuming diversion for companies that address the matter of foreign filing protection in an ad hoc manner. The following analysis describes the problem in some detail, and then describes a structured approach to making foreign filing decisions that some companies are effectively deploying.
Landlord & Tenant
October 07, 2003
The latest rulings of importance to you and your practice.
Deferred Compensation: Dramatic Changes
October 07, 2003
The recent issuance of Revenue Ruling 2002-22, 2002-19 I.R.B. 849 dramatically changes how income tax principles will be applied to the marital division of deferred or incentive compensation arrangements, and, potentially, to other types of assets, the gain from which is taxable as ordinary income. Stock options and contractual deferred compensation arrangements have become a standard form of compensation for corporate employees. In the marital dissolution law of practically every state where marital rights to these compensation arrangements have been examined, the value represented by these rights has been determined to be marital property, subject to division at divorce to the extent earned before divorce. Indeed, deferred compensation rights may be the most valuable marital asset, so negotiation and litigation over division of this value has become a fertile area for marital settlements.
A Word to the Wise
October 07, 2003
Arbitration has become an increasingly powerful force in the resolution of disputes in the employment setting. Your client has asked you to draft or revise an arbitration provision in an employment agreement. What do you do?
