IPpro Services (India) P. Ltd.
PATENT INFRINGEMENT & LITIGATION
Companies around the globe thrive on technology and innovation for their success.Patents provide protection to these innovations and grant exclusive rights to theinnovator to practice his/her invention. In terms of money, it is simply amazinghow much an invention can generate. U.S Patents 4,681,893 and 5,273,995protect Atorvastatin, better known as Lipitor, invented by Bruce D. Roth. PresentlyLipitor is the largest selling drug in the world accounting for sales of $12.7 billionin 2007. In another example, University of California generated more that $500million in last five years in patent royalties.Significant revenues may be generated by out-licensing the patents and throughsales of products protected by patents. However, this is not the only source of revenue through patents. Patent litigations may also act as another source of revenue from a patent, if the patent is knowingly or unknowingly infringed by anindividual or a company. In one such example, as a plaintiff alleging patentinfringement, University of California settled a claim against Genentech (of whichBruce D. Roth is a Senior Director) for $200 million, secured a payment of $185million from Monsanto, and won a $30 million settlement from Microsoft.On the other hand, patent litigations have also cost millions of dollars tocompanies in legal expenses and awarded damages due. For example, on Oct 12,1990, Eastman Kodak had to pay U.S $909,457,567 to Polaroid in a patentinfringement case and almost went bankrupt. By way of another example, on April22, 2005 Medtronic, the world's largest medical technology company, paid U.S$1.35 billion to settle a patent lawsuit.Thus, it is not only important to protect innovations through patents, it isextremely important for companies to check, potential patent infringement bythem or their competitors.