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Articles

The Innovation Act of 2012 – A Preliminary Assessment

February 4, 2014

Articles

The Innovation Act of 2012 – A Preliminary Assessment

February 4, 2014

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With litigation and demand letters by “patent trolls”—also known as non-practicing entities (NPEs) or patent assertion entities (PAEs)—increasingly in the news in recent years, state legislators and attorneys-general, business advocacy groups, the White House, and several House and Senate members have intensified efforts to fashion measures that would thwart abusive behavior.

One such attempt, the “Innovation Act of 2012” introduced in October by Rep. Bob Goodlatte (R-Va.), deserves careful consideration. Some of its features are attractive; others are problematic.

The bill seeks to “address the issues that businesses of all sizes and industries face from patent troll-type behavior and aim to correct the current asymmetries surrounding abusive patent litigation.” The bill passed the House of Representatives late last year by a 325-91 vote, but now faces an uphill battle in the Senate, where Judiciary Committee Chairman Patrick Leahy (D-Vt.) and many of his colleagues on the committee have expressed serious reservations about certain provisions and have mulled their own piecemeal legislation.

On our Litigation Blog, Mike Rosen breaks down the various components of the Goodlatte bill and preliminary assessments thereof.

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