modern counsel

IP Protection – Strategies for In-House and General Counsel

NPEs legally purchase patents that are unused or no longer relevant from the original owners or on the secondary market. In recent cases that have drawn public ire and political attention, some NPEs have targeted small businesses that don’t have the technical or financial resources to defend against infringement claims.

PricewaterhouseCoopers found that two-thirds of all patent infringement lawsuits are filed by PAEs—28 percent higher than five years ago (though changes in joinder rules contained in the America Invents Act in September 2011 likely account for much of this increase). The US General Accounting Office (GAO) reported that software-related infringement accounted for nearly 90 percent of the increase in infringement defendants from 2007 to 2011.

Source: Modern Counsel

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