Posts Tagged: "design patents"

Despite the April 2011 priority date asserted for the ‘031 design patent, the PTAB found in its institution decision that the ‘031 patent wasn’t entitled to the priority date for the patent application resulting in the ‘838 patent because of a lack of written description support for the design claimed in the ‘031 patent… C&D Zodiac had provided evidence from a slide-show presentation shown at a B/E Aerospace Investor Day event in March 2012 which included slides (see left) depicting the Spacewall technology covered by the ‘031 patent as well as commercial success including an $800 million contract with Boeing signed in 2011.

Intellectual property probably isn’t high on the to-do list for most new nonprofits and business start-ups. There’s plenty enough to do with setting up an organization, paying bills, and serving customers and clients. However, intellectual property is important and shouldn’t be overlooked. Companies and organizations that don’t protect their IP can risk losing hard-earned work and concepts. Also, companies can risk liability if they violate the IP rights of others, even unknowingly or by accident. Patents provide inventors the right to exclude others from using the technologies covered by the patent for a limited time.  In exchange for exclusivity, inventors must disclose how to make and use the invention.  An inventor can apply for a patent with the United States Patent and Trademark Office (PTO), as well as other intellectual property offices around the world.

Ultimately, the jury’s large damage award might not be the lasting storyline of this case. Apple’s “victory” here shows that well-crafted design patents can offer broad protections against even slight infringements by competitors, and that a well-written design patent and a well-argued case can provide tremendous benefits to the patent owners. Given the relatively inexpensive design patent process and what will only be continued speculation as to how these damages should be calculated, a design patent remains a great defense in the face of even limited infringement by market competitors.

On April 30th, alternative fuel vehicle manufacturer Nikola Corporation filed a complaint alleging claims of design patent infringement against electric vehicle maker Tesla Inc. Filed in the District of Arizona, Nikola’s complaint accuses Tesla of copying various elements of design patents held by Nikola in the area of heavy duty semi truck cabin design.

On May 14th the next chapter in the Samsung v. Apple smartphone design patent dispute will commence in the United States District Court for the Northern District of California with a retrial to determine a new award in the case. The most notable moment in this long winding history was the unanimous Supreme Court decision where the Supreme Court sided with Samsung in its appeal in late 2016. But while the Supreme Court’s ruling should have modernized our antiquated law governing design patents to fit into the modern 21st century world, that important outcome is still in doubt pending the retrial. A key question remains – namely, how to determine the “article of manufacture” and appropriate remedy for infringement of multifaceted products. And could this open up potential grounds of consideration for utility patent interpretation?

The first design patent case to go to trial since Apple v. Samsung has given design patent owners hope that a ‘total profit’ award is still achievable… Patent owners are keeping a close eye on how juries respond to the new legal framework, and will be carefully attuned to appeals from these cases as the Federal Circuit addresses the standards that apply to design patent damages cases going forward. If patent owners continue to get total profits for design patent infringement, even after Samsung v. Apple, companies are likely to increase their efforts in obtaining design patents, particularly given the current climate facing utility patents.

Branded apparel companies face many challenges in protecting their IP assets, including the unavailability of copyright protection for fashion designs, the length of time necessary to secure a design patent, the challenge of securing secondary meaning required for a trade dress claim before the market is flooded with knock-offs, and the geographic and practical impediments to pursuing counterfeiters, who are often foreign-based and/or judgment proof.  Perhaps mindful of the limited statutory protections for IP assets and the significant damages being incurred at the hands of infringers, various courts, particularly in the Second and Ninth Circuits, have in recent years taken steps to enhance the alternatives available to apparel companies confronted by the scourge of knockoffs.  Specifically, such court decisions have (1) expanded the scope of potential contributorily liable actors, and (2) broadened the means of freezing and attaching assets of foreign counterfeiters.

The Internet of Things (IoT) has been upon us for some time now, though many are just beginning to see it — the interconnected network of devices that increasingly surrounds us. We actually welcomed the first personal IoT device a while ago in the smart phone, a device whose functionality depends on its connection to a cellular network or the internet. Imagine the impact your phone has had many times over — with billions of interconnected smart devices — and you get a sense of the IoT’s expected scale… Unfortunately, protecting your IP in the IoT is likely to be both more complicated and lead to more patent infringement lawsuits than ever before.

The Apple-Samsung case has dragged on for about six years so far, with no end in sight. The first case, involving design patents, has had a trial, gone to the Federal Circuit, up to the Supreme Court, where a unanimous Court sided with Samsung. The case is now back at the district court, which has to decide which “article of manufacture” on the infringing Samsung phones includes the patented design. Apple is continuing to try to salvage its $400 million damages award by any means necessary, including effectively nullifying the Supreme Court’s decision.

Boulder, CO-based shoe manufacturer Crocs, Inc. (NASDAQ:CROX) had a design patent rejected by the U.S. Patent and Trademark Office. The patent struck by the USPTO is U.S. Patent No. D517789. Issued in March 2006 and assigned to Crocs, it protected the ornamental design of footwear. The design patent illustrations attached to the ‘789 design patent showcase the well-known Crocs design featuring holes in the footwear material around the front of the foot and a strap behind to hold the footwear in place against a person’s heel… The Examiner refused to recognize a priority claims of earlier filed applications dating back to June 23, 2003. According to the Examiner, the shoe that is the subject of the ‘789 design patent was not adequately disclosed prior to May 28, 2004, making an earlier priority date claim impossible to recognize.

Patent trolls – as well as calls for changes to the law to prevent them – date back to at least the 1800’s. A look at their history suggests that they have more to do with fluidity in the definition of patentable subject matter than any unique feature of a particular class of inventions… A change in a fundamental definition of what comprised patentable subject matter, and that change brought a major building block of commerce into the ambit of the patent system. In the age of the sharks, the farm remained the core of the U.S. economy, driving a gold rush of new patents covering every element of the farming process. Such a rush also encourages the formation of patent thickets, as speculators scramble for any potentially protectable chunk of the market. The same phenomenon drove the development of modern tech and software patents. In the aftermath of State Street, once again the market found that the machinery that undergirded the economy was suddenly open to being patented, leading to a similar gold rush.

Instead of using claims of trademark infringement and more expensive design patent infringement (if a design patent is even obtained), one can expect manufacturers of useful articles such as apparel manufacturers and designers to rely more often upon copyright to enforce their rights against knock-offs, and to seek more copyright registrations for design features on useful articles.

The World Intellectual Property Organization (WIPO) has published its annual World Intellectual Property Indicators. The 2016 report dissects the macro trends associated with filing activity and registrations for 2015 in the following intellectual property areas: patents, trademarks, industrial designs, and plant varieties… The twenty-year era of growth in industrial design patent applications came to an abrupt end in 2014, with a substantial drop in applications filed by 10.2%. In 2015, these figures are back on the rise, with a 2.3% increase. The number of designs in applications also rose in 2015, with non-resident applicant designs being the primary catalyst for growth. China was the main contributor to the number of designs per application, providing half the global total.

In the calculation of design patent infringer profits, two key issues are the definition of the article of manufacture and the methodology for calculating total infringer profits… Depending upon the case, infringer profits may be based on the entire accused product or may be limited to a component of the accused product, but there is no test or guidance at this point for how to determine if the entire product is the article of manufacture or if only a component or certain components comprise the article of manufacture. Therefore, it may be prudent, depending upon the case, to calculate infringer profits based on one or more alternative assumptions as to what the article of manufacture is comprised of in the specific situation. In some cases, the design patent will cover most or all of the product in question but in other cases such as in the Apple case, it will cover only a minor portion of the product.

This page and website contain contain detailed information to help inventors on the road from invention to patent… Below are a sampling of inventor help links to specific patent and invention related information throughout our website. As you read these articles you will invariably come across links to other articles of interest, which you can and really should read. While I believe inventors should take the time to read all of the pages throughout IPWatchdog.com, I have gone through the IPWatchdog.com archives and created several “reading assignments,” which will hopefully make the task of figuring out where to start more manageable, and which will help get you started. I recommend you do them in this order (i.e., starting with Reading Assignment 1), but if you find something that you just need to know then by all means jump ahead. You can also visit our Inventor Education Archive as well.