EARLIER this year we wrote numerous posts that mentioned SCOTUS looking into laches [1, 2, 3, 4, 5]. In simple terms, the recent SCOTUS ruling sided with patent trolls in the sense that Justices let them use the clock against their victim/s. There have just been two new examples of analyses from legal firms 1, 2], reaffirming our concern that patent trolls got somewhat of a boost from the 'Supremes' (Justices). But having said that, this case is of far lower impact than TC Heartland -- another SCOTUS case which will be decided some time soon.
"In simple terms, the recent SCOTUS ruling sided with patent trolls in the sense that Justices let them use the clock against their victim/s."There is a lot of press coverage about it (in recent days we found [1, 2, 3, 4, 5, 6, 7]), but it's mostly dominated by patent law firms, i.e. patent microcosm as opposed to industry, academics, journalists etc. We don't have time to comment on each article individually (we last wrote about the subject a few days ago), but the overall message seems positive. It certainly looks like the end of patent trolls (at least in Texas) is imminent. Based on our readings, the oral arguments (e.g. questions) suggest an inclination to overturn the decision, i.e. ban venue shifting.
"Whenever it's delivered -- no matter if unanimous of not -- we certainly hope it will be the end for East Texas as we know it."One particular article, this one from Orrin Hatch (US Senator for Utah, the Republican party), received a special mention. "Hatch is right," one person wrote. "Patent trolls are strangling innovators working to improve our society."
Here are some portions from Wired's article, composed by Hatch:
To take TC Heartland as an example, the defendant corporation in the case, an Indiana-based manufacturer of zero-calorie sweeteners, was sued in Delaware even though it has no regular or established place of business in Delaware and is not even registered to do business in the state. Despite the defendant’s lack of connections, the court found that Delaware was a proper venue for the suit because a small percentage of the defendant’s sales—approximately 2 percent—were purchased by a customer in Arkansas and shipped to Delaware.
Savvy plaintiffs know that current rules allow them to bring suits virtually anywhere they want, so they seek out forums where they know judges are likely to give them an easier shake. One federal court in east Texas in particular has become infamous as a magnet for patent litigation because of its plaintiff-friendly rules and sympathetic juries.
In 2015, nearly 45 percent of all patent cases nationwide were filed in that one court. Nearly one-third of all patent cases nationwide were handled by a single judge on that court. This is forum-shopping in the extreme.