Thursday, August 4, 2011

In Calculating Ongoing Royalty, Litigation-Related Licenses Deemed More Reliable Than Non-Litigation Licenses

In calculating an ongoing royalty rate, the court determined that litigation-related licenses were more reliable than non-litigation-related licenses. "[I]n light of the small volumes at issue for the non-litigation licensees, the cost of potential future litigation may thus have actually played a more significant role in the non-litigation-related licenses than in the litigation-related licenses. At a minimum, the low volumes at stake in the non-litigation-related licenses render them less reliable than the litigation-related licenses entered into with banks."

Datatreasury Corporation v. Wells Fargo & Company, et. al., 2-06-cv-00072 (TXED August 2, 2011, Order) (Folsom, J.)

No comments: