In the past 5 years, a “significant increase” in patent litigation cases kept the Patent Trial and Appeals Board and the Court of Appeals for the Federal Circuit busy. USPTO even published its own report, referencing their own working paper that revealed “economists, legal scholars and policy makers are concerned about the impact of patent litigation on the rate and direction of U.S. innovation and on the functioning of the U.S. intellectual property system.”
Protecting intellectual property with a patent is both time-consuming an expensive for inventors, but it can give a company a big lead in a market, as long a nobody infringes on the patent.
Many patent-holders who find their patent infringed issue a Cease and Desist document or commence expensive litigation.
Tim Murphy, Chief Executive Officer of Rebounderz Family Entertainment Centers found a better way to approach the problem when his patents were infringed upon. Murphy enforcing his patent rights through a strategic partnership strategy, earning more for his company by generating significant additional revenue streams.
Key takeaways from Murphy’s method:
- Strategize ways to monetize near-term and long-term.
- Offer a licensing and/or royalty fee for continued use.
- Offer a binary solution; work together to monetize or face legal action.
- Beware the “patent pending game.”
- Aggressively protect well-earned Patent Holder rights.
Murphy suggests “… work with infringing organizations as strategic partners and settle patent disputes through lump sum or monthly payments.” If that fails, “… use legal means to make patent infringements work in your favor.”
Murphy found it better to settle suits by having the infringing party purchase a patent license. That allows the infringer to continue to operate their business using Murphy’s three (3) perfected patents that cover 59 claims. And Murphy’s company generates another revenue stream.