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Litigation / US Litigation / Alternative Approach to Seeking a Preliminary Injunction in a Patent Infringement Action B. SEEKING PRELIMINARY INJUNCTIVE RELIEF Injunctive relief in a patent infringement action is
statutorily permitted under 35 U.S.C. § 283, which states: “The
several courts having jurisdiction of cases under this title may grant
injunctions in accordance with the principles of equity to prevent the
violation of any right secured by patent, on such terms as the court
deems reasonable.” Typically, injunctive relief, which is the
adjudicated determination of a patent owner’s right to “exclude”
others from practicing their invention, is identified in the complaint
filed by the patent owner charging patent infringement of an enforceable
patent. Putting an end to unauthorized competition for the remaining
term of a patent is often the most valuable relief available to the
patent owner, even more valuable than monetary damages ultimately assessed
for past infringement.
“Preliminary” injunctive relief, i.e.,
relief before a full adjudication of the case on the merits, has been
as available in patent cases as in other types of litigation. Courts
are, however, appropriately cautious in granting such motions, before
a full trial where all relevant evidence that has been gathered over
many months of discovery can be presented. Courts have consistently
held that a preliminary injunction is “extraordinary” relief
and place strict conditions on the granting of such relief. Indeed,
some courts have held the standard for granting a preliminary injunction
in a patent case to be “unusually stringent.” Further, a
preliminary injunction is issued only for the purpose of preserving
the status quo and protecting the respective rights of the parties pending
a final disposition of the litigation.
In order to obtain a preliminary injunction, the patent
owner must establish the following elements:
(1) the patent owner’s reasonable likelihood
of success on the merits; The patent owner must come forward with evidence as
to each element, since the patent owner has the burden of proving he
is entitled to the preliminary injunction. The court must weigh and
measure each factor in light of the relief requested While each of these
elements is entitled to consideration, it is clear that if the patent
owner fails to establish elements (1) and/or (2), the court need not
even consider elements (3) and/or (4). See, for example, Reebok
International Ltd, v. J Baker Inc. (32 F3d 1552, 31 USPQ2d 1781
(Fed. Cir. 1994).
Presumptions can be raised with the strong establishment
of other elements. Irreparable harm may be presumed where there is a
likelihood of success on the merits (assuming that the patent is not
presently licensed to others, which would signal to the court that the
patent owner has a perfectly adequate remedy at law in the form of money
damages, and therefore does not require injunctive relief). Evidence
of prior adjudication of the subject patent may also raise a presumption
of validity, which has the effect of shifting the ultimate burden of
production to the accused infringer on this issue.
Courts also consider, for example, (1) whether there
was any delay by the patent owner in seeking injunctive relief and (2)
the effectiveness of money damages to compensate a patent owner for
market loss, along with the ability to pay such damages.
Additionally, in balancing hardships, the court will
weigh the magnitude of the threatened injury to the patent owner, in
the light of the strength of the showing of likelihood of success on
the merits, against the injury to the accused infringer if the preliminary
decision is in error.
Finally, public policy favors the protection of the
rights secured by valid patents. Thus, courts view this last element
in light of this policy. However, courts have held that the focus of
the analysis of this element should be whether there exists some critical
public interest that would be injured by the grant of preliminary relief.
The consideration of these issues complicates the procedure
for seeking and obtaining a preliminary injunction. A failure of proof
as to any one of these elements can, in and of itself, serve as a basis
for denying a preliminary injunction.
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6/25/02
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