When a farmer buys a tractor that costs a small fortune, who owns it? The instinctive answer is the farmer. And if he owns the tractor, certainly he has the right to fix it, right? Like most things in life, it’s not that simple. Modern equipment runs on software and other technologies that still belong, legally, to the company that built the machine. The manufacturer retains intellectual property rights in the equipment even after selling it, and those rights can get in the way of the farmer fixing his own machine. Both sides own something. Neither owns everything.
ECI Innovations, LLC, a company that designs and licenses financial products, is seeking an experienced intellectual property professional to join the company as a Partner on a part-time, permanent basis. This is a remote opportunity. The successful candidate will assist with filing patents for a proprietary financial benchmark product and provide legal guidance related to licensing the company’s intellectual property. Due to the confidential nature of the project, additional details will be shared with qualified candidates.
The U.S. Patent and Trademark Office (USPTO) today published a Federal Register Notice proposing to amend the rules of practice to require that third-party requests for ex parte reexamination of a patent must include a statement identifying all real-parties-in-interest (RPIs) to the proceeding. According to the proposed rule, statements identifying RPIs would be kept confidential upon request and “would provide the Office with a mechanism to evaluate statutory estoppel provisions” as well as “enhance the Office’s ability to respond to false certifications, misrepresentations, and fraud.”
The U.S. Court of Appeals for the Ninth Circuit in Comet Technologies USA, Inc. v. XP Power, LLC, overturned Comet Technologies’ $40 million trade secret verdict against XP Power and ordered a new trial, finding that the district court erroneously instructed the jury that the defendant bore the burden of proving that Comet’s trade secrets were readily ascertainable by proper means. The court held that the error was not harmless because the instructions were not accurate as a whole, and nothing in the jury’s verdict shed light on how it would have ruled under a correct instruction. The case is notable both for clarifying what “readily ascertainable” means and for spotlighting a burden-of-proof distinction between the Defend Trade Secrets Act (DTSA) and the California Uniform Trade Secrets Act (CUTSA) that practitioners should not overlook.
Recent amendments to Federal Rule of Evidence 702 did not invent the trial judge’s gatekeeping obligation, nor did they transform economic analysis. They did, however, sharpen the focus on the burden of establishing admissibility and whether an expert has reliably applied a valid methodology to the facts. Combined with the Federal Circuit’s increasingly demanding review of patent damages opinions, the practical message is unmistakable: the economic case must be engineered from the beginning, or you will surely suffer the consequences only after it is too late.
The mythology surrounding the act of invention tends to concentrate on the breakthrough moment. There is a flash of insight, a sketch is made on a cocktail napkin, the prototype is assembled in a garage to prove the brilliance of the concept. Unfortunately, commercial markets are considerably less romantic. They do not reward ideas merely because they are clever, patentable or even technically superior. They reward products that work, solve a problem customers recognize, can be manufactured at an economically sustainable price and generate an acceptable return for whoever assumes the risk of bringing them to market.
In any patent dispute, the strength of the patent still matters. But increasingly, it is not the only thing that matters—or even, in some cases, the thing that matters most. That means where a patent dispute takes place cannot be a tactical afterthought or viewed as a choice of federal district courts in the United States alone. This is true today more than ever because despite patents ostensibly being property—at least according to the Patent Act—which tribunal and which judges make the ultimate decisions affecting the patent often matter most of all because patents and patent enforcement have become driven by ideology and the type of fervor normally reserved highly emotionally charged discussions, like religion and politics.
The U.S. Court of Appeals for the Federal Circuit (CAFC) issued a decision today affirming a district court’s dissolution of a preliminary injunction (PI) and denial of a temporary restraining order (TRO) in a Schedule A design patent dispute over foldable fans. Circuit Judge Hughes wrote for the majority, joined by Circuit Judge Prost, while Circuit Judge Stoll dissented from the portion of the opinion addressing the merits of the design patent analysis.
The U.S. Court of Appeals for the Federal Circuit (CAFC) on Tuesday vacated and remanded a decision for a patent owner against Apple, concluding that the Patent Trial and Appeal Board (PTAB) made several errors in finding the claims of the speech recognition patent at issue were not shown to be unpatentable. Zentian Ltd. owns U.S. Patent No. 10,839,789, which is titled “Speech recognition circuit and method.” Apple petitioned for inter partes review (IPR) of multiple claims of the patent, arguing in relevant part that “claim 1 was obvious over prior art reference U.S. Patent No. 5,819,222 (“Smyth”) or the combination of Smyth and U.S. Patent No. 6,832,194 (“Mozer”) and that claim 29 was obvious over Smyth, Mozer, and several other references.”
As government contractors rapidly integrate LLMs and generative AI into their operations, regulators are scrambling to adapt to shifting data ownership requirements. The General Services Administration (GSA) recently proposed a new GSAR clause (552.239–7001) to standardize AI procurement, and the current draft has been met with widespread industry criticism. By asserting expansive government ownership over “data outputs” and “custom development,” the proposed rule inadvertently exposes a fault line between government data protection and commercial IP rights.
The United States patent system is not failing because Americans have stopped inventing. It is failing because the legal and institutional architecture built to protect invention no longer operates as a coherent innovation framework. Over time, the system has become a patchwork of overlapping tribunals, inconsistent legal standards, procedural inefficiencies, and doctrinal barriers that make it harder to obtain, defend, enforce, license, and rely upon even high-quality patent rights covering innovations of extraordinary consequence. Now in the coming months we will move forward with a candid, serious, historically grounded, and focused conversation on building—not merely patching—the next American patent system.
This week on IPWatchdog Unleashed, I spoke again with Fran Cruz, Senior Vice President of IP Solutions for Juristat. Our conversation was about a topic that should be top of mind for every patent prosecution firm, every in-house IP department, and every legal operations professional trying to make sense of the current market for patent related legal work. Where is patent prosecution work going, when does work move from firm to firm, when it does move, where is it moving, and what will firms have to do to win—or keep—the patent preparation and prosecution work?
Patent monetization is often discussed as if the hard part begins when a patent owner makes the decision to license, sell, finance, or enforce its patent assets. That is a mistake and demonstrates a lack of understanding of the difficulties and complexities of patent monetization. By the time a patent owner is sitting across the table from a potential licensee, buyer, lender, litigation funder, or accused infringer, much of the outcome has already been fully determined. The real work begins years earlier in preparation for monetization.
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