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Might No One Have Standing to Sue


by C. Larry O'Rourke View Biography
Gary J. Edwards View Biography
Finnegan, Henderson, Farabow, Garrett & Dunner, L.L.P. View Firm Credentials
Palo Alto Office

David Albagli
Finnegan, Henderson, Farabow, Garrett & Dunner, L.L.P. View Firm Credentials
Washington Office

February 5, 2008

Previously published by IP Law 360

Licensing is an integral part of today's business strategy and patent portfolio management. While the licensor and licensee can divide between them the variety of rights associated with a patent, it is important to understand that express language conferring a right is not necessarily effective. The right to sue those who infringe a patent has proven to be particularly troublesome to transfer by way of license agreement. A recent Federal Circuit ruling, Morrow v. Microsoft (06-1512; Sept. 19, 2007), highlights one such example of a trap for the unwary. The opinion clearly implies that dividing the rights to a patent can create the situation that neither party has sufficient rights to enforce the patent. We examine how this scenario arose and how terms of the license affect the right to enforce patents.


 

The views expressed in this article are solely the views of the author and not Martindale-Hubbell. This article is intended for informational purposes only and is not legal advice or a substitute for consultation with a licensed legal professional in a particular case or circumstance.




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