Patent Valuation, Monetization and Investments

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Markman Advisors Patent Blog

by Zachary Silbersher

Downstream Customers Will Face Increased Patent Suit Risk

Zachary Silbersher

The Federal Circuit’s current interpretation of a “sale” and “offers to sell” under 35 U.S.C. § 271(a) has permitted vendors that supply components for end products destined for the United States to directly market to and compete for a share of the U.S. market, but simultaneously avoid liability for patent infringement by offshoring all manufacture and delivery of their products. We recently published an article in Law360 discussing how downstream customers from these vendors are likely to bear the brunt of defending more patent suits given that traditional recourse to the customer suit exception or severance under Rule 21 may not be availing. Follow this link to the article.