Southern District of New York ordered new trial on damages

The Southern District of New York, in Adrea, LLC v. Barnes & Noble, Inc., et al., 13 Civ. 4137 (Judge Rakoff) (February 24, 2016), ordered a new trial on damages. At trial, the jury found that Defendants infringed two of the three asserted patents, and awarded Plaintiff $1.33 million in lump sum, compensatory damages. After trial, the Court found that one of the two patents was invalid. Since the jury did not allocate its damages award between the two patents, the Court requested letter briefing from the parties on how to allocate the damages award and whether a new trial on damages was necessary. (slip op. at 1 - 2).

Relying on the Federal Circuit's decision in Verizon Services Corp. v. Vonage Holdings Corp., 503 F.3d 1295, 1310 (Fed. Cir. 2007), the Court noted that "[i]n a situation . . . where the jury rendered a verdict on damages, without breaking down the damages attributable to each patent, the normal rule would require a new trial as to damages." (slip op. at 16). Since the parties did not provide "any significant reasons to deviate from the normal rule," the Court ordered "a limited new trial . . . to determine damages on the remaining claims at to which liability remains established." (Id.)