Friday, November 4, 2016

Defendant’s Conduct During Pre-Litigation Licensing Negotiations Warrants Enhanced Damages Award​

Following a jury verdict of willful infringement, the court partially granted plaintiff's motion for enhanced damages because of defendant's knowledge of the patent and license negotiation tactics. "[T]he Court is persuaded that [plaintiff] is entitled to enhanced damages toward the lower end of that spectrum. It is undisputed that [defendant] had detailed knowledge of the patents-in-suit long before the filing of this lawsuit. . . . [T]he Court makes note of with the manner in which [defendant] abruptly terminated licensing negotiations. After a long series of meetings between the parties . . . [defendant] invited [plaintiff's] representatives to Korea one last time and indicated that it would be making a monetary offer for a license. Rather than make an offer or engage in serious, good faith negotiations, [defendant] delivered a terse one-page presentation stating that a lawsuit at that time between the parties was 'preferable' to a license. . . . This should have been done by email. [Defendant's] conduct in making [plaintiff] send representatives to Korea to be handed a one-page document like this is clearly within totality of the circumstances which the Court should properly consider."

Core Wireless Licensing SARL v. LG Electronics, Inc. et al, 2-14-cv-00912 (TXED November 2, 2016, Order) (Gilstrap, USDJ)

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