Posts Tagged: "industry insiders"

The United States Supreme Court will hear oral arguments in SAS Institute v. Matal on Monday, November 27, 2017. This case will give the Supreme Court the opportunity to declare whether the Patent Trial and Appeal Board must issue a written decision covering all claims challenged in an inter partes review proceeding. In advance of this much anticipated hearing, I reached out to a number of industry insiders with a simple question: What are you thoughts and predictions on SAS Institute in advance of Supreme Court oral arguments? Their answers follow.

The United States Supreme Court will hear oral arguments in Oil States v. Greene’s Energy Group on Monday, November 27, 2017. This case will give the Supreme Court its first opportunity to address the constitutionality of the inter partes review procedures created by the America Invents Act (AIA). In advance of this much anticipated hearing, I reached out to a number of industry insiders with a simple question: What are you thoughts and predictions on Oil States in advance of Supreme Court oral arguments? Their answers follow… As for my thoughts — I’m going to go out on a limb this time with my prediction that the Supreme Court will find IPRs unconstitutional.

Scott Kieff: “My biggest take from today’s sessions, was to hear from Don Dunner and Judge Newman and others about that great ideas that we could all share in to bring increased economic growth, increased innovation, increased opportunity for the market, for consumers and for manufacturing by returning to an approach to the IP Antitrust interface that is politically diverse, that both President’s Carter and Reagan embraced. That kind of pivoting could really help the system and it could be done by getting professionals within the community to just talk together in a different way. I know that sounds small because it’s just talking, and talking in a different way. But sometimes those little things can have big payoffs.”

Are you bullish or bearish on the 2018 patent market? That is the question I asked a panel of experts recently. For the most part, those industry insiders who responded are bullish, although some are cautiously bullish. As you will read below, there seems to be a consensus that activity will be up in terms of deals in 2018, but relief from the downward pressure on prices experienced over the last several years likely will not be forthcoming in 2018.

The clear consensus seems to be that the patent licensing market is not dead, but that the U.S. market is in decline and due to a weakening of patent rights capital will go elsewhere.

First-take reaction to Aqua Products v. Matal from a distinguished panel of experts. Todd Dickinson: “I don’t think that I’ve ever seen such a collection of procedural somersaults and arcane discussion masquerading as an appellate opinion. ” Russell Slifer: “it would be wise for the USPTO and the PTAB to consider limiting all Board decisions wholly to the record developed during the proceeding. Eliminate the opportunity for a panel to issue a sua sponte reason for unpatentability.” Ashley Keller: “One could be forgiven for wondering if the Republic is truly well served entrusting such a tribunal with exclusive jurisdiction over patent appeals.” John White: “This decision puts neon highlights around what is wrong with the PTAB process as it pursues the political outcome of ridding the system of ‘troublesome’, aka: ‘commercially valuable’, patents.” Plus much more.

Lauren Emerson, Baker Botts, LLP: “Today’s decision, while not surprising, is momentous, as any decision striking a longstanding legislative provision based on freedom of speech would be.  From a trademark practitioner’s perspective, Matal v. Tam is also remarkable in that it is the second decision in just over two years in which the Supreme Court specifically has taken note of the importance and value of trademark registration.   The decision has drawn additional attention as it undoubtedly marks the end of Pro-Football, Inc. (“PFI”)’s longstanding battle over its REDSKINS marks, as 2(a) will no longer bar registration of those marks either.   I have little doubt that in the weeks and months to come, we will see many new filings that will be more challenging to celebrate than Simon Tam’s hard-won victory.”

Russ: Slifer: ”Clearly the Supreme Court is not done with its intellectual property obsession. By granting certiorari in Oil States vs. Greene’s Energy Group, et al. the Court has agreed to address the questions of constitutionality of post grant reviews, the amendment process implemented by the USPTO, and how the USPTO applies the broadest reasonable interpretation to claims. Some commentators believe that this is a good sign for patent owners and the end of IPR’s. I don’t anticipate, however, that the Court will shift in a pro-patent direction and gut a cornerstone of the AIA. This will most likely be one of the rare cases where the Supreme Court substantially affirms the CAFC.”

The legacy of Michelle Lee will be extremely complicated. She has been loved by those in the tech community most associated with using patented technologies (i.e., infringers) and reviled by innovators who need strong patent protections. Her speeches have always been full of rhetoric that leads many observers to believe she is not in favor of strong patent rights, so her departure will undoubtedly be welcome in many corners of the industry and could signal a new pro-patent approach on the horizon for the Trump Administration.

Bob Stoll: ”And it is the international exhaustion holding that is particularly troubling. Sales abroad act independently from the US patent system and there is no impact from the US patent system on those sales. Yet in this decision, the Supreme Court says that the foreign sale now diminishes patent rights in the US. All sorts of goods, including life-saving pharmaceuticals, are sold at lower prices in poor nations. This decision will encourage powerful foreign groups to gather products up and send them back to the US to get the higher prices. Or, companies will not be able to lower prices and sell their products in those countries. Both the poor in distant lands and the innovators in the US will suffer.”

What follows is reaction from a distinguished panel of industry insiders who have been following this case. Each have offered their own instant analysis, several pointing out that important questions remain about what this Supreme Court decision will mean for the many thousands of patent cases already filed, many that are now in inappropriate venues. It is probably fair to say that the ruling did not surprise most of our panel, although several point to the Supreme Court’s decision as more in a decade-plus line of cases that have continually eroded the rights of patent owners.

On Wednesday, March 22nd, the U.S. Supreme Court handed down a decision in a copyright case, which clarifies federal copyright law surrounding whether features incorporated into the design of a useful article are eligible for copyright protection. In a 6-2 decision, the Supreme Court held in Star Athletica, LLC v. Varsity Brands, Inc. that such features are eligible for copyright protection if they can be perceived as a work of art separate from the useful article and would qualify as an protectable work if imagined separately from the useful article.

First, I continue to wish for patent eligibility reform in Congress that would overrule Mayo, Myriad and Alice, although I am mindful of both how naive that sounds and dangerous it could become given competing interests at play. Of course, there is also a very real possibility any statutory reform would simply be ignored by the Supreme Court anyway, as they cling to the judicially created exceptions to patent eligibility that find no support anywhere in the statute or Constitution. Second, I am again also going to wish for meaningful copyright reforms and/or real Internet industry cooperation that recognizes the important rights of content creators, both large and small. It is too easy to steal original content with impunity and that threatens content creators large and small. Finally, while I would like to wish for an end to post grant procedures, I’ll remain content to more modestly wish for a new PTO Director unafraid to reform the post grant process in ways that remove the systemic biases that make the proceedings hopelessly one-sided against patent owners.

Last year at this time, I wished for the passage of trade secrets legislation, resolution of the patent reform legislation stalemate in Congress, that the USPTO consider evidence of non-preemption during its initial determination of patent eligibility; and that the USPTO prioritize accuracy, completeness and accessibility of the public record as part of its Patent Quality Review… If a genie were to appear to grant me wishes for 2017, I would ask for two things in particular: First, that the USPTO not change the information printed on the front page of issued patents. Second, that the Commerce Department cease attempts to make the USPTO pay for the shared services initiative.

It is one again time to take a moment to look back on the year that was, reflecting on the biggest, most impactful moments of 2016. For us that means looking backward at the most impactful events in the world of intellectual property. This year we received such a good response from our panel of experts that we decided to break this column into two…