Tuesday, August 25, 2009

Licensee Lacked Standing to Sue Where Patent Owner Retained Rights to "Non-Commercial, Educational Use" of the Patent

In granting defendant's motion to dismiss plaintiff's patent infringement claim for lack of standing the court rejected plaintiffs' argument that the rights retained by the patent owner were "insubstantial." "Plaintiffs acknowledge that the [patent owner] retains rights to the non-commercial, educational use of the patents. . . . [T]hese retained rights of use actually demonstrate an absence of complete exclusivity, which in this Court’s view is key to the issue of whether there was a conveyance of all substantial rights."

Resonant Sensors Inc. v. SRU Biosystems Inc., 3-08-cv-01978
(TXND August 14, 2009, Memorandum Opinion & Order) (Lynn, J.)

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