Friday, June 13, 2014

Two limitations on patent damages- Six Year and Notice

Subject: Two limitations on patent damages- Six Year and Notice

* The Six Year limitation
35 U.S.C. §286 provides that "no recovery shall be had for any infringement committed more than six years prior to the filing of the complaint or counterclaim for infringement in the action."

* The Notice limitation
35 U.S.C. §287(a) provides for notice to the public by marking the patented article. If the patentee fails to mark its patents, it cannot recover damages in any infringement action, unless “the infringer was notified of the infringement and continued to infringe thereafter[.]”  Filing an infringement action is such notice.

1) Process or Method claims
The marking provision of § 287(a) does not apply to patents claiming only processes or methods. See Am. Med. Sys., Inc. v. Med. Eng’g Corp., 6 F.3d 1523, 1538 (Fed. Cir. 1993).  In cases where the patent claims are directed to only a method or process, there is nothing to mark. Id; see also Loral Fairchild Corp. v. Victor Co. of Japan, 906 F. Supp. 813, 816 (E.D.N.Y. 1995) (citing Bandag, Inc. v. Gerrard Tire Co., 704 F.2d 1578, 1581, 217 U.S.P.Q. 977, 979 (Fed. Cir. 1983)).

2) Apparatus and Method claims

When the patentee asserts both apparatus and method claims and to the extent that there is a tangible item to mark (i.e., a physical device produced by the claimed method), the notice provision applies.  Am. Med. Sys., Inc. v. Med. Eng’g Corp., 6 F.3d 1523, 1538-39 (Fed. Cir. 1993).

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