Congressman Farenthold Joins Colleagues in Supporting Patent Litigation Reform Bill

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Washington, Oct 24, 2013 | comments

U.S. Congressman Blake Farenthold (R- Texas) joined several colleagues yesterday in supporting a bill that addresses the ever increasing problem of abusive patent litigation.  The bipartisan Innovation Act, H.R. 3309, incorporates several provisions from H.R. 2639, a patent reform bill that Congressman Farenthold and Congressman Hakeem Jeffries (D-N.Y.) introduced this past July. 

The Innovation Act addresses abusive practices taking place in our Courts, and was introduced by House Judiciary Committee Chairman Bob Goodlatte (R-Va.) today was joined by Representative Peter DeFazio (D-Ore.), Subcommittee on Courts, Intellectual Property, and the Internet Chairman Howard Coble (R-N.C.), and Representative Zoe Lofgren (D-Calif.). 

“Americans need to know they are safe from abusive litigation when they buy a product off the shelf and use it for its intended purpose,” said Congressman Farenthold. “The solutions proposed in this bill will deter patent trolls without damaging the rights of responsible intellectual property holders.”

Additional original cosponsors of the bill include Reps. Lamar Smith (R-Texas), Anna Eshoo (D- Calif.), Jason Chaffetz (R-Utah), Spencer Bachus (R-Ala.), Tom Marino (R-Pa.), and George Holding (R-N.C.).

Key Components of the Innovation Act:

  • Target Abusive Patent Litigation: The bill targets abusive patent litigation behavior and not specific entities with the goal of preventing individuals from taking advantage of gaps in the system to engage in litigation extortion.  It does not attempt to eliminate valid patent litigation.
  • Protects the Patent System: The patent system is integral to U.S. competitiveness.  This legislation does not diminish or devalue patent rights in any way.
  • Increases Transparency: This legislation includes heightened pleading standards and transparency provisions. Requiring parties to do a bit of due diligence up front before filing an infringement suit is just plain common sense. It not only reduces litigation expenses, but saves the court’s time and resources. Greater transparency and information is a good thing and it makes our patent system stronger.
  • Modernizes Fee Shifting: The legislation includes a modernized version of Section 285 fee shifting that is fair, clear and will ensure consistent judicial determinations.
  • Provides Greater Clarity: The legislation provides for more clarity surrounding initial discovery, case management, joinder and the common law doctrine of customer stays.  The bill works hand-in-hand with the procedures and practices of the Judicial Conference and the courts.
  • Small Business Education: The bill provides for small business education and outreach by the U.S. Patent and Trademark Office.

 

A copy of the legislation can be found here and a section-by-section can be found here.

                                                                                                                                                                                         

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