DRAFTING PATENT LICENSE AGREEMENTS
drafting patent license agreements, seventh edition - Bloomberg BNA
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NEW EDITION!<br />
<strong>DRAFTING</strong> <strong>PATENT</strong><br />
<strong>LICENSE</strong> <strong>AGREEMENTS</strong>,<br />
SEVENTH EDITION<br />
By Brian G. Brunsvold, D. Patrick O’Reilley, and D. Brian Kacedon<br />
> > > > > > > > > > ><br />
ALSO INSIDE:<br />
• Constructing and<br />
Deconstructing Patents<br />
• Drafting Patents for Litigation<br />
and Licensing, with 2012<br />
Cumulative Supplement<br />
• Electronic and Software<br />
Patents, Third Edition, with<br />
2012 Supplement<br />
• Patent Prosecution: Law,<br />
Practice, and Procedure,<br />
Seventh Edition, with 2012<br />
Supplement<br />
FREE<br />
30-DAY<br />
REVIEW<br />
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2012/Approx. 675 pp.<br />
Hardcover with CD-ROM<br />
ISBN 978-1-61746-121-7<br />
Order #2121/$255.00<br />
NEW EDITION!<br />
<strong>DRAFTING</strong> <strong>PATENT</strong> <strong>LICENSE</strong><br />
<strong>AGREEMENTS</strong>, SEVENTH<br />
EDITION<br />
By Brian G. Brunsvold, D. Patrick O’Reilley,<br />
and D. Brian Kacedon<br />
UNDERSTAND THE LEGAL ISSUES that affect<br />
patent license agreements<br />
:::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::<br />
Drafting Patent License Agreements, Seventh Edition<br />
tracks and discusses—clause by clause—all the critical<br />
components of a licensing agreement. This handbook illustrates the growing<br />
importance of intellectual property transactions to business and the resulting<br />
attention such transactions receive in legislative, regulatory, and judicial areas.<br />
The new Seventh Edition has been completely revised and expanded to reflect<br />
legal developments since the Sixth Edition, offering a new chapter discussing<br />
bankruptcy as it applies to licensing, a new chapter on enforcement of licensed<br />
patents explaining the complex issues of standing to sue, an extensive discussion of<br />
indemnity provisions, and an examination of the new circuit disagreement over the<br />
antitrust consequences of reverse payment settlements.<br />
The Seventh Edition presents a current overview of all legal issues surrounding<br />
licensing and of every typical provision used in patent and know‐how licenses.<br />
Example provisions are provided with reference to applicable legal and practical<br />
consequences. The reference discusses major new cases, including:<br />
> > WiAV Solutions LLC v. Motorola, Inc., concluding that an exclusive licensee has<br />
standing to sue for infringement despite existence of others with right to grant<br />
sub-licenses<br />
> > Stanford v. Roche and Preston v. Marathon Oil Co., finding that a contract<br />
presently assigning future inventions takes precedence over a contract<br />
promising to assign in the future<br />
> > Stanford v. Roche, holding that the Bayh-Dole Act does not supersede<br />
requirement to get assignment of invention from employee<br />
> > Tessera, Inc. v. International Trade Commission, ruling that exhaustion of<br />
patent occurs on sale by licensee, not on payment of royalties by licensee<br />
> > Sunbeam Products, Inc. v. Chicago American Manufacturing LLC, determining<br />
the rejection of license in bankruptcy does not terminate agreement, and trademark<br />
licensee retains license rights despite being excluded from effect of 365(n)<br />
> > Rates Tech., Inc. v. Speakeasy, Inc., concluding that no challenge clause in<br />
settlement agreement is unenforceable if settlement occurred before litigation<br />
> > In re K-Dur Antitrust Litigation, holding that reverse payment settlements may<br />
violate antitrust laws despite policy in favor of settlement of litigation<br />
This desk reference identifies problematic language and illustrates how to tailor contract<br />
wording to accomplish client goals. The authors provide valuable insights into the legal<br />
and business aspects of patent contracts, analysis of significant legal issues affecting<br />
agreements, and discussion of foreign agreements and their unique considerations. A<br />
companion CD-ROM offers 200 sample clauses and forms, including sample license<br />
agreements, confidential disclosure agreements, employment agreements, and more.<br />
About the Authors<br />
Brian G. Brunsvold, a partner with Finnegan, Henderson, Farabow, Garrett & Dunner,<br />
LLP, Washington, DC, has over 30 years extensive hands-on licensing experience.<br />
D. Patrick O’Reilley, a partner with Finnegan, Henderson, Farabow, Garrett & Dunner,<br />
LLP, Washington, DC, teaches licensing law at George Mason University Law School in<br />
Arlington, VA.<br />
D. Brian Kacedon practices at Finnegan, Henderson, Farabow, Garrett & Dunner,<br />
LLP, Washington, DC, and has broad experience in all aspects of patent litigation.
2011/1,232 pp. Hardcover<br />
with 2012 Supplement<br />
Order #9051P/$495.00<br />
2012 Supplement alone:<br />
ISBN 978-1-61746-051-7<br />
Order #2051/$210.00<br />
NEW SUPPLEMENT!<br />
ELECTRONIC AND<br />
SOFTWARE <strong>PATENT</strong>S:<br />
LAW AND PRACTICE, THIRD<br />
EDITION, WITH 2012 SUPPLEMENT<br />
Steven W. Lundberg, Stephen C. Durant,<br />
and Ann M. McCrackin, Editors-in-Chief<br />
American Intellectual Property Law Association<br />
A FOCUSED, PRACTICAL REFERENCE<br />
designed to help draft, prosecute, and<br />
manage a strong portfolio of patents<br />
:::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::<br />
Electronic and Software Patents: Law and Practice, Third Edition is a step-by-step<br />
strategy guide that helps practitioners deal with today’s lightning-paced technological<br />
developments, changes in USPTO policy, and pivotal court rulings.<br />
Practitioners handpicked for their experience provide perspectives and tactics,<br />
including guidance on tough decisions such as whether to seek patent protection at<br />
all, how to search for and evaluate prior art, how to use trade secret and copyright<br />
law in conjunction with patent strategy, and how to draft claims for broad yet distinct<br />
interpretation; lessons on preparing computer-related patent applications under<br />
Alappat, its progeny, and the USPTO’s examination guidelines; insights on drafting with<br />
the appropriate scope—and the unique, software-related aspects of the best-mode,<br />
enablement, and written-description requirements of Section 112; and candid practice<br />
“tips and traps” for each step of the patent prosecution process. The Third Edition<br />
also offers an international survey of the statutes, regulations, and case law of more<br />
than 40 nations—plus basic global principles of patentability; representative sample<br />
patents; a timesaving practice checklist; a case table; and an exhaustive topic index.<br />
The Third Edition of Electronic and Software Patents: Law and Practice, co-published<br />
with the American Intellectual Property Law Association, also includes guidance for<br />
writing specifications in view of Ariad Pharmaceuticals, Inc. v. Eli Lilly & Co.; analysis of<br />
the Federal Circuit’s application of the Supreme Court’s decision in Bilski to Research<br />
Corporation Technologies, Inc. v. Microsoft Corporation; insights for drafting claims in view<br />
of Cybersource Corp. v. Retail Decisions, Inc.; tips for writing preambles that do not limit<br />
when the claim is interpreted; and pointers for creating the best possible patent application.<br />
The new 2012 Supplement offers important updates and also provides discussion on:<br />
> > Inspection of the America Invents Act and its effect on the prior user defense<br />
> > Strategies for writing the specification in view of Mayo v. Prometheus<br />
> > Tips for targeting an application to a desired Technology Center or Art Unit at the<br />
USPTO<br />
> > Guidance as to which factors may be considered in determining whether a<br />
process claim falls into the “abstract idea” exception<br />
> > Interpretations of Bilski and post-Bilski Federal Circuit cases<br />
> > Review of the decision in Ultramercial LLC v. Hulu, LLC for method claims<br />
requiring complex programming to implement an invention<br />
> > Analysis of the outcome in Dealertrack v. Huber for computer-aided method<br />
claims that fail to specify any level of computer involvement<br />
> > Examination of the result in Cybersource Corp. v. Retail Decisions for process<br />
claims that recite a computer readable medium<br />
> > Interpretation of the Federal Circuit’s attempt to preserve subject matter scope in<br />
CLS Bank Int’l v. Alice Corp.<br />
About the Editors-in-Chief<br />
Steven W. Lundberg is a shareholder in Schwegman, Lundberg & Woessner, P.A.,<br />
Minneapolis, MN.<br />
Stephen C. Durant is a shareholder in Schwegman, Lundberg & Woessner, P.A.,<br />
San Jose, CA.<br />
Ann M. McCrackin is Of Counsel for Schwegman, Lundberg & Woessner, P.A., and<br />
President, Black Hills IP, Minneapolis, MN.
2008/776 pp. Hardcover<br />
with 2012 Cumulative<br />
Supplement<br />
Order #9049P/$445.00<br />
2012 Cumulative<br />
Supplement alone:<br />
ISBN 978-1-61746-049-4<br />
Order #2049/$205.00<br />
NEW CUMULATIVE SUPPLEMENT!<br />
<strong>DRAFTING</strong> <strong>PATENT</strong>S<br />
FOR LITIGATION AND<br />
LICENSING, WITH 2012<br />
CUMULATIVE SUPPLEMENT<br />
Bradley C. Wright, Editor-in-Chief<br />
ABA Section of Intellectual Property Law<br />
A GUIDE THROUGH THE MINEFIELD of<br />
court decisions that have systematically<br />
eroded the scope and validity of patents<br />
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::<br />
Drafting Patents for Litigation and Licensing is the first book<br />
to help practitioners draft the broadest possible patent by synthesizing and applying<br />
lessons from the case law to sustain a validity challenge. This treatise contains<br />
in-depth discussions of pitfalls in claim drafting, dangers of means-plus-function<br />
clauses in claims, strategies to target direct infringers, recent trends regarding the<br />
scope of enablement, pitfalls with provisional patent applications, and strategies for<br />
continued prosecution of patents.<br />
The 2012 Cumulative Supplement provides significant updates and analysis of the<br />
latest cases, including:<br />
> > The Leahy-Smith America Invents Act, impacting almost all areas of patent<br />
drafting, including earlier and more frequent patent filings due to the transition<br />
to a “first-inventor-to-file“ regime<br />
> > Mayo Collaborative Services v. Prometheus Laboratories, involving the<br />
patentability of medical diagnostic tests<br />
> > Bilski v. Kappos, holding out the possibility that so-called “business method“<br />
inventions can be patented as long as they are not an abstract idea<br />
> > Stanford v. Roche, showing that an improperly drafted agreement between a<br />
university and one of its researchers divested the university of its patent rights<br />
> > Blackboard, Inc. v. Desire2Learn Inc., where the Federal Circuit held that<br />
patent applicants may not support a means-plus-function clause with the mere<br />
disclosure of “a black box that performs a recited function”<br />
> > The Federal Circuit’s decisions in Muniauction Inc. v. Thomson Corp., Golden<br />
Hour Data Systems v. emsCharts Inc., and Akamai Technologies, Inc. v.<br />
Limelight Networks, focusing attention on drafting method claims in such a way<br />
that the method steps are performed solely by a single entity<br />
> > The en banc decision in Egyptian Goddess v. Swisa, completely overhauling<br />
the test for infringement of design patents<br />
> > Quanta Computer v. LG Electronics, which substantially expanded the patent<br />
exhaustion doctrine, and also raised questions about the rights of patent<br />
owners to control downstream uses of patented components<br />
> > The en banc decision in Ariad Pharmaceutical v. Eli Lilly, leading to the<br />
possibility that broad genus claims may be enabled, but not supported, by the<br />
written description of the patent<br />
About the Editor-in-Chief<br />
Bradley C. Wright is a senior partner at Banner & Witcoff, Ltd., Washington, DC. He<br />
concentrates his practice in patent prosecution, litigation, and counseling, especially in<br />
the electrical and computer-related areas, including internet and e-commerce.<br />
Contributing chapter authors are seasoned patent practitioners and members of the<br />
ABA Section of Intellectual Property Law.<br />
Since 1984, the American Bar Association (ABA) Section of Intellectual Property<br />
Law has advanced the development of intellectual property laws and their fair and just<br />
administration. As the forum for rich perspectives and balanced insight on the full spectrum<br />
of intellectual property law, the Section serves as the ABA voice—within the profession,<br />
before policymakers, and with the public. With nearly 25,000 members, the Section is the<br />
largest intellectual property law organization in the world. For more information on Section<br />
participation, visit www.americanbar.org/groups/intellectual_property_law.html.
<strong>DRAFTING</strong> <strong>PATENT</strong> <strong>LICENSE</strong> <strong>AGREEMENTS</strong>,<br />
SEVENTH EDITION<br />
Summary of Contents<br />
Chapter 1. Some Premises and Commentary<br />
Chapter 2. Legal Principles<br />
Chapter 3. Enforcement of Licensed Patents<br />
Chapter 4. Express Agreements: Nonexclusive<br />
Licenses, Nonassertion Agreements, and Exclusive<br />
Licenses<br />
Chapter 5. Specific Types of Licenses<br />
Chapter 6. Implied Licenses and Patent Exhaustion<br />
Chapter 7. Issues in License Agreement Negotiation<br />
Chapter 8. The Opening Part of the Agreement<br />
Chapter 9. Definitions<br />
Chapter 10. The Granting Clause, Elements of the<br />
Grant, Definition of Licensed Subject Matter<br />
Chapter 11. Reservations and Improvements<br />
Chapter 12. Royalties, Reports, and Payments<br />
Chapter 13. United States Tax Issues Relating to<br />
Transfers of Patents and Know-How<br />
Chapter 14. Protection for a Nonexclusive Licensee<br />
Chapter 15. Transferability of Rights and Obligations<br />
Pertaining to Licenses<br />
Chapter 16. Representations and Warranties and<br />
Negation of Implications<br />
Chapter 17. Indemnification and Liability Insurance<br />
Chapter 18. Licensing of Pending Patent Applications<br />
Chapter 19. Alternate Dispute Resolution<br />
Chapter 20. Common Provisions of Consequence<br />
Chapter 21. Term and Termination of the Agreement<br />
Chapter 22. Execution of Agreements: Problems of<br />
Authority and Proof<br />
Chapter 23. Bankruptcy Law Considerations<br />
Chapter 24. Validity and Construction Patents<br />
Chapter 25. Settlement of Patent Litigation<br />
Chapter 26. Confidential Disclosure Agreements<br />
Chapter 27. Agreements Concerning the Sale or Other<br />
Transfer of Unpatented Technological Values<br />
Chapter 28. Collaboration Agreements<br />
Chapter 29. Cross Border Licensing Issues<br />
Chapter 30. Export Laws and Regulations of the United<br />
States<br />
Chapter 31. University and Government Licensing<br />
Chapter 32. Selected Competition Law Issues<br />
Visit www.bna.com/bnabooks/dpl for more detailed information.<br />
> > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > ><br />
ELECTRONIC AND SOFTWARE <strong>PATENT</strong>S,<br />
THIRD EDITION, WITH 2012 SUPPLEMENT<br />
Summary of Contents<br />
Chapter 1. Trends in Software and Business Method<br />
Patents From 1996 Through 2010<br />
Chapter 2. Relationship to Other Intellectual Property<br />
Areas<br />
Chapter 3. Searching Software Inventions<br />
Chapter 4. Guidelines to Software-Related Inventions<br />
Chapter 5. Drafting the Specification<br />
Chapter 6. Crafting the Claims<br />
Chapter 7. Functional Claim Drafting in the Electronics,<br />
Computer, and Software Arts<br />
Chapter 8. Claim Interpretation for Patent Drafters<br />
Chapter 9. Maximizing Your Success in Patent<br />
Prosecution<br />
Chapter 10. Drafting and Filing International Patent<br />
Applications<br />
Visit www.bna.com/bnabooks/esp for more information.<br />
Chapter 11. Practical Considerations for Working With<br />
Business Method Patents<br />
Chapter 12. Design Patents for the Information Age<br />
Chapter 13. Patent Portfolio Development:<br />
An In-House Counsel Perspective<br />
Chapter 14. Noninfringement and Invalidity Opinions<br />
Chapter 15. Design-Around Techniques<br />
Chapter 16. Litigation of Patents Involving Software<br />
Technology<br />
Appendixes<br />
Table of Cases<br />
Index<br />
> > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > ><br />
<strong>DRAFTING</strong> <strong>PATENT</strong>S FOR LITIGATION AND<br />
LICENSING, WITH 2012 CUMULATIVE SUPPLEMENT<br />
Summary of Contents<br />
Chapter 1. The State of the Law of Claim<br />
Construction and Infringement<br />
Chapter 2. Pitfalls in Patent Drafting<br />
Chapter 3. Drafting the Winning Patent<br />
Chapter 4. Continued Prosecution of the Patent<br />
Chapter 5. Mechanical Patents<br />
Chapter 6. Electrical Patents<br />
Chapter 7. Software, E-Commerce, Internet, and<br />
Business Method Patents<br />
Chapter 8. Chemical and Pharmaceutical Patents<br />
Chapter 9. Biotechnology Patents<br />
Chapter 10. Design Patents<br />
Chapter 11. Combining Prosecution with Other<br />
Forms of Representation<br />
Chapter 12. Drafting U.S. Patents with a View<br />
Toward Europe<br />
Visit www.bna.com/bnabooks/dpll for more detailed information.
2011/3 Volumes<br />
5,248 pp. Hardcover<br />
with 2012 Supplement<br />
Order #9080P/$595.00<br />
2012 Supplement alone:<br />
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Order #2080/$255.00<br />
NEW SUPPLEMENT!<br />
<strong>PATENT</strong> PROSECUTION:<br />
LAW, PRACTICE, AND<br />
PROCEDURE, SEVENTH<br />
EDITION, WITH 2012 SUPPLEMENT<br />
By Irah H. Donner<br />
EFFECTIVELY PREPARE AND PROCESS<br />
a patent application, protect a client’s patent,<br />
or invalidate an infringing one<br />
:::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::<br />
Patent Prosecution: Law, Practice, and Procedure, Seventh<br />
Edition expertly addresses the most recent substantive changes in patent law<br />
by the district courts, the Court of Appeals for the Federal Circuit, and the U.S.<br />
Supreme Court. This treatise also explains new prosecution rules from the Patent and<br />
Trademark Office (PTO), making it a resource that is equally strong in its analysis of<br />
patent case law as it is in its analysis of patent prosecution.<br />
It covers important cases, including the Supreme Court’s ruling in Bilski v. Kappos,<br />
which held that business methods are not specifically excluded under the patent laws,<br />
rejected the Federal Circuit’s machine-transformation test as the exclusive test, and<br />
declined to establish a specific test for patent eligibility. It also examines the PTO’s<br />
examination guidelines, “Interim Guidance for Determining Subject Matter Eligibility for<br />
Process Claims in view of Bilski v. Kappos.” Other recent decisions discussed include<br />
In re Tanaka; Association for Molecular Pathology and ACLU v. USPTO and Myriad;<br />
Ariad Pharmaceuticals, Inc. v. Eli Lilly and Co.; Wyeth and Elan Pharma International,<br />
Ltd. v. Under Sec. of Commerce for Intellectual Property; Hyatt v. Acting Director,<br />
Patent and Trademark Office; and others.<br />
The 2012 Supplement updates the main volume by addressing various significant<br />
changes in U.S. patent law resulting from recent decisions and statutory amendments.<br />
The supplement discusses changes to the patent law resulting from the Leahy-Smith<br />
America Invents Act, including prioritized Track I examination, the first-to-invent system,<br />
elimination of the best mode defense, revised standards for inter partes reexamination,<br />
and others. In addition, it covers more than 40 decisions of the Supreme Court, the<br />
Federal Circuit, and the Board of Patent Appeals and Interferences, including i4i<br />
Limited Partnership v. Microsoft Corp.; Tewari De-Ox Systems V. Mountain States; In<br />
re Jung; Duramed Pharmaceuticals, Inc. v. Paddock Laboratories, Inc.; and others. The<br />
Supplement also includes a CD-ROM with a comprehensive Cumulative Case Digest<br />
that covers cases through December 31, 2011, and provides access to an extensive<br />
compilation of precedential language, organized by specific issue, in favor of patentability.<br />
> > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > ><br />
Summary of Contents<br />
Chapter 1. Patent Protection<br />
Chapter 2. Prosecution and<br />
Appeals<br />
Chapter 3. Prosecution History<br />
Estoppel and Disclaimer<br />
Considerations<br />
Chapter 4. Inventorship<br />
Chapter 5. Antedating Prior Art<br />
References Under Rule 131<br />
Chapter 6. Exceptions to<br />
Patentable Subject Matter<br />
About the Author<br />
Chapter 7. Anticipation Standard<br />
Under 35 U.S.C. Section 102<br />
Chapter 8. Combating<br />
Obviousness Rejections Under 35<br />
U.S.C. Section 103<br />
Chapter 9. Disclosure Under<br />
35 U.S.C. Section 112, First<br />
Paragraph<br />
Chapter 10. Definite Claims Under<br />
35 U.S.C. Section 112, Second<br />
Paragraph<br />
Chapter 11. Means-Plus-Function<br />
or Step-Plus-Function Claims<br />
Under 35 U.S.C. Section 112,<br />
Sixth Paragraph<br />
Chapter 12. Related Application<br />
and Priority Issues<br />
Chapter 13. Design Patent<br />
Requirements<br />
Chapter 14. Post-Issuance<br />
Actions: Reissue, Reexamination,<br />
Certificates of Correction, and<br />
Maintenance Fees<br />
Chapter 15. Practical Guidelines<br />
for Drafting Patent Opinions<br />
Irah H. Donner is a partner in the Intellectual Property department of Stroock & Stroock<br />
& Lavan LLP, New York, NY. He concentrates in the counseling, due diligence, claim<br />
analysis, and preparation/prosecution of patents, as well as enforcement of intellectual<br />
property, with particular emphasis on financial, business method, internet, and computer<br />
software/hardware applications.<br />
Visit www.bna.com/bnabooks/ppp for more detailed information.
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CONSTRUCTING AND<br />
DECONSTRUCTING <strong>PATENT</strong>S<br />
By Irah H. Donner<br />
Driven by the difficulties he faced in mentoring attorneys and<br />
agents on the mechanics of patent application drafting, Irah<br />
H. Donner, author of the classic treatise Patent Prosecution:<br />
Law, Practice, and Procedure, wrote this seminal guide on the<br />
subject: Constructing and Deconstructing Patents.<br />
Walking the reader step-by-step through the complexities of<br />
drafting a patent application, this treatise provides a standard<br />
methodology that patent attorneys and agents can rely on to simplify the patent<br />
application process. Regardless of the particular type of patent, or the level of its<br />
technical subject matter, this treatise will help ensure each section of the patent<br />
application is carefully considered and fully developed before its submission to the<br />
U.S. Patent and Trademark Office (PTO). This book also discusses the major areas of<br />
patent law that can affect the strength and vitality of a patent years later.<br />
Patent attorneys and agents engaged in patent application drafting practice before the<br />
PTO will find this book extremely valuable, as will litigators seeking both to understand the<br />
construction of patent applications and to deconstruct them during litigation. The book’s<br />
detailed organization makes it accessible as a guide for the new attorney or agent, while<br />
its time-tested methodology provides valuable insights for the experienced practitioner,<br />
serving as a checklist for each phase of the constructing and deconstructing process.<br />
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