Enhanced Damages, Litigation Cost Recovery, and Interest
Forthcoming in Patent Remedies and Complex Products: Toward a Global Consensus, Ch. 3 (Brad Biddle, Jorge L. Contreras, Brian J. Love, and Norman V. Siebrasse, eds., Cambridge University Press)
67 Pages Posted: 17 Sep 2018
Date Written: September 13, 2018
This chapter discusses the law and policy of monetary awards—including exemplary damages and litigation cost recoveries—that go beyond the compensatory damages to which prevailing parties in patent litigation are normally entitled. Up to treble damages are authorized in the United States for knowing infringement, but attorney fees are awarded only in exceptional cases. The rest of the world tends towards the opposite: attorney fees are awarded as a matter of course, but punitive damages are generally prohibited as against public policy. In this chapter we discuss the theory, law, and policy of enhanced damages and attorney fee awards in the U.S., Europe, and Asia. While the availability of enhanced damages and fees can bring accused infringers that might otherwise “holdout” to the table, care must also be taken to ensure that it does not discourage productive learning from patents or challenges to overbroad and vague patents. Rather than endorsing any single set of doctrinal rules, we recommend further research into a number of unanswered questions about current and potential future configurations, in order to inform future policy-making.
Keywords: enhanced damages, punitive damages, exemplary damages, willful infringement, willfulness, litigation costs, disbursements, attorney fees, fee shifting, English Rule, pre-judgment interest, post-judgment interest
JEL Classification: O34, K41
Suggested Citation: Suggested Citation