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2011 Award for most dishonest form of business goes to

January 9th, 2011

Dishonest patent litigation awardIn light of hearing the recent news that the website, WikiLeaks, has gathered confidential communications between the State Department and its many liaisons and plans on publishing it worldwide I have thought of a new yearly award we can hand out.

Well, between WikiLeaks and the unholy business of “patent trolls” buying off patents in order to use them solely as grounds for suing prospering business for patent infringement, I have gotten an idea! Let’s create an award identifying this years “Most dishonest form of business”.

Now I am sure we can sit here and think about many other candidates, but let’s get focused on pitching these two. First is WikiLeaks. Here is a business in which it’s sole purpose is to steal, bribe, cheat, and perhaps threaten life, to gather confidential, top secret type of information from national governments with the dastardly motivation to publish the info on the internet for all to see.

Doing this, of course, with the possibility of endangering military lives, or creating astronomical damage between nations, just for a profit. Then there are these “patent trolls” who represent the exact opposite of productive American business.

They, first, seek out struggling businesses, firms, or individuals who have no other choice but to sell their patent for whatever invention or product idea they have. Then, without any intention of ever manufacturing the patent idea, these “trolls” seek out successful businesses who have utilized some concept of their patented idea in order to sue them for patent infringements.

They are quite literally making money out of nothing. Looks like we have a couple of quality candidates for the award, right? Well then, drum roll please! And the winner is…

Misunderstood patent holders with rights fighting in East Texas

January 3rd, 2011

Misunderstood patent trollsIt’s one of your classic movie plots. Good guys fight bad guys, only to find out that bad guys are misunderstood, thus a compromise is made, fighting stops and now, no more enemies. So it would seem to be taking place in the federal court rooms of East Texas and other parts of the United States.

Could it be that the so called “patent trolls” that have been portrayed as abusers of our legal system for profit are, in reality, simply misunderstood patent holders with rights?

The rising unethical practice of purchasing unmanufactured patent rights in order to sue companies with manufactured products that have the possibility of infringing on the patent has made its enemies throughout the last number of years.

And as the practice is understood, it is justifiably so. But are these “trolls” really doing anything different than your average patent holder? The very creation of the concept of patent holding is to ensure the protection of intellectual property or ideas of invention.

When a patent holders “property” is being produced without their permission, they have the right to be compensated for the infringed use of their idea. This means that the accused patent trolls are practicing the same rights as any patent holder when they pursue anybody who has produced a product or service that infringes upon their patent.

So, technically they are under the same labeling as your average patent holder. Where they vary from the rest is in the area of morally or ethics of why they do it. The pure concept of the labeling a company a ”patent troll” is based on the aggressive pursuit and use of patents solely for litigation without any motivation to manufacture the product, which stunts innovation.

So, our beloved patent trolls not misunderstood, they are bad through and through.

Kryptonite to defendants of patent infringement cases

December 29th, 2010

kryptonite for patent litigationI can see now: “Come to Marshall where you are sure to lose lots of money!” Of course it could read in reverse: “Come to Marshall where you are sure to win lots of money!” Then again, they could post both with one stating it’s for defendants and the other stating it’s for plaintiffs.

Silly as all that sounds, the truth is, Marshall Texas, has become the “kryptonite” to defendants of patent infringement cases. The percentage of plaintiffs who have won these types of cases in the court circuit of Marshall and other East Texas towns has set such a standard that big company defendants don’t even take the time to set foot in town.

The cost and process of having the case in Marshall becomes so much, as the companies are located in places like the Northeast and West Coast, which more often than not the companies settle out of court. They simply look to cut the cost and get it over with.

Unfortunately, it’s this manner of dealing with the cases that encourages “patent troll” types to invest heavily to get hold of patents simply to establish a legitimate case to accuse these companies of patent infringement, knowing that they will want to settle.

For a town known for its home-cooking-welcome-to-grandmas-home feel to it, it is quite surprising that the mere mentioning of its name brings fear to companies like, Cisco, Microsoft, and Time Warner. But the truth is, Marshall Texas has become a grave yard for defendants of patent litigation.

Consumer Prices and Patent Trolls in East Texas

December 25th, 2010
East Texas patent lawyersWe all know about the possibility of finding coal in our stockings due to being on the “bad list” and we have all heard of the Grinch and his devious plan to rob Christmas and even a few of us have had an Ebenezer Scrooge as a boss but this year’s Christmas culprit could come in the form of a “troll”.

Even though there was a slight increase in people spending during this past Black Friday holiday (doesn’t it seem like its receiving more and more attention every year?) the increase was minute and does not make up for the lack of spending that has taken place the past few years.

This lack of spending is due to our struggling economy, but piggy-backing on the economies broken back are unnecessary hikes in product prices forced upon businesses by “patent trolls”.

Patent trolls are, simply, companies who look to buy patents off from bankrupt or struggling businesses or firms for the sole purpose of targeting bigger and more successful businesses that have a product or service that has infringed upon their patent in order to bring a lawsuit against them.

Many times the businesses with the infringement will settle for hundreds of thousands of dollars in order to avoid a lengthy and costly court process. Now, what does this have to do with our Christmas shopping?

Well, once these businesses have paid off their patent litigation, they will have to increase the cost of their product and service so that us the consumers can make up for the loss. This is similar to what is taking place in the medical field, hospitals and doctors are required to charge much higher based upon any litigation or future litigation that is brought against them.

So when it comes this Christmas season make sure to give a big “Merry Christmas” to your local patent troll!

Patent Infringement Abuse Versus Innovation

December 25th, 2010

patent infringement east texas

East Texas Patent Attorneys

It’s as old as time. Good versus Evil, God versus all selfishness in man, North versus South, Batman versus Joker, and East Texas versus … innovation? It shouldn’t be limited to East Texas only; rather, it should be patent infringement abuse versus innovation.

But for the today, we should look at what East Texas’ possible part is in slowing do innovation. Although patent infringement cases themselves has only grown nationally a slight margin, the number of cases happening in the towns of Marshall, Texarkana, and Tyler has multiplied beyond belief.

And it is believed by some that there is an abuse of the legal system as companies are looking to profit off of patent infringement lawsuits, and this can stunt innovation and invention. This is especially true for what is being done by these so called “patent trolls”.

A “patent troll” is a company that looks to make its profit through gains earned through lawsuits versus other companies that has a product or technology that has infringed on their patent. The big catch, and what has attributed to slowing down innovation, is that many times these “patent trolls” look to buy patents off of others without any plan to manufacture the invention.

That in of itself is anti- productive, but what has further hindered the productivity is how these “trolls” as well as others have won an incredible amount of patent litigation cases. What does that have to do with innovation?

Well, either these companies have less money to invest in new technology or are hesitant to invest for fear of being targeted or even further, they don’t have the patent of an idea because one of these “patent trolls” holds it. And, unfortunately, East Texas has played it’s part based on a high rate of awarding cases to “patent trolls” and others.