INTRODUCTION
Patentees concerned with downstream use may want to take a closer look at the terms on which they license and covenant not to sue. Very recently, on April 8, the U.S. Court of Appeals for the Federal Circuit ruled in TransCore, Inc. v. ETC Corp. that an unconditional covenant not to sue authorizes the sale of a patented article, thereby exhausting patent rights in the article.[FOOTNOTE 1] Although the TransCore ruling represents a logical extension of existing patent exhaustion jurisprudence, it should be carefully considered when drafting patent licenses and covenants not to sue.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.
For questions call 1-877-256-2472 or contact us at [email protected]
