Reliance on Nash Bargaining Solution Warrants Exclusion of Expert’s Reasonable Royalty Scenario

The court granted defendant's motion to exclude the testimony of plaintiff's damages expert regarding a reasonable royalty scenario for applying the Nash Bargaining Solution. "The [Federal Circuit] ultimately held that NBS theories should be excluded except in the unlikely circumstance that a 50/50 split is shown to fit the particular facts of a case. . . . [Plaintiff's expert] similarly fails to tie the 50/50 split to the specifics of this case or to explain why such a split would be reasonable — other than to invoke a boilerplate assertion about the relative bargaining powers of the parties. What he does is nothing more than to start with an assumed 50/50 split — exactly what the Federal Circuit found erroneous in his [previous] analysis."

Good Technology Corporation et al v. MobileIron, Inc., 5-12-cv-05826 (CAND July 5, 2015, Order) (Grewal, M.J.)