Brief for Amici Curiae Eighteen Intellectual Property Law Professors in Support of Petition for Certiorari in Eve-USA v. Mentor Graphics
21 Pages Posted: 6 Jan 2018
Date Written: January 2, 2018
This brief addresses the correct measure of lost profit damages after a finding of patent infringement. An unbroken line of Supreme Court precedent holds that apportionment analysis is required in all damages calculations. See, e.g., Yale Lock Mfg. Co. v. Sargent, 117 U.S. 536, 552 (1886). Though the Federal Circuit facially acknowledges the force of this precedent, see, e.g., Mentor Graphics Corp. v. EVE-USA, Inc., 851 F.3d 1275, 1287 (Fed. Cir. 2017), both the panel and the Federal Circuit en banc fail to apply it to the instant case. The panel decision inappropriately conflates apportionment analysis with the causal analysis described in Panduit Corp. v. Stahlin Bros. Fibre Works, Inc., 575 F.2d 1152, 1156 (6th Cir. 1978), and the Federal Circuit en banc denial of rehearingincorrectly applies the entire market value rule, see Rite-Hite Corp. v. Kelley Co., 56 F.3d 1538, 1550 (Fed. Cir. 1995), to carefully elide the Court’s apportionment requirement and avoid repeating the panel’s error. Furthermore, the precedent set by the instant case is bad patent policy and discourages innovation in the high-tech industry. Certiorari should be granted to restore apportionment’s proper place in lost profits damages calculations.
Keywords: patent, remedies, damages, lost profits, apportionment
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