Difference between revisions of "The Truth Behind Patent Trolls"
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| − | [[Patent Trolls]] are an innovation bogeymen, with numerous research articles and legislation addressing ways to curb troll activity. Patent Trolls, also known as [[Patent Assertion Entities]], generate revenue through suing or threatening to sue businesses that infringe on patents. Experts dispute terms for such corporations, labeling them as either [[Patent Assertion Entities]] or [[Non-Practicing Entities]]. | + | [[Patent Trolls]] are an innovation bogeymen, with numerous research articles and legislation addressing ways to curb troll activity. Patent Trolls, also known as [[Patent Assertion Entities]] (PAEs), generate revenue through suing or threatening to sue businesses that infringe on patents. Experts dispute terms for such corporations, labeling them as either [[Patent Assertion Entities]] (PAEs) or [[Non-Practicing Entities]] (NPEs). |
Revision as of 16:38, 11 March 2016
Patent Trolls are an innovation bogeymen, with numerous research articles and legislation addressing ways to curb troll activity. Patent Trolls, also known as Patent Assertion Entities (PAEs), generate revenue through suing or threatening to sue businesses that infringe on patents. Experts dispute terms for such corporations, labeling them as either Patent Assertion Entities (PAEs) or Non-Practicing Entities (NPEs).
Hypothesis 1: Most Patent Assertion Entities are drivers of innovation, and incorrectly labeled as patent trolls.
Method 1: Find list of PAEs, sort by location, number of lawsuits filed, damages. Need to control for size of company and sector.
Top 10 PAEs in 2015, according to (Unified)
| Company Name | Total Lawsuits Filed¹ | Lawsuits Filed in Eastern District of Texas¹ |
| eDekka LLC | 101 | 101 |
| Data Carriers LLC | 85 | 85 |
| Shipping and Transit LLC | 69 | 0² |
| Cryptopeak Solutions LLC | 66 | 66 |
| Hawk Technology Systems LLC | 61 | 3 |
| Rothschild Connected Devices Innovations LLC | 60 | 59 |
| Wetro Lan LLC | 56 | 55 |
| Loramax LLC | 50 | 50 |
| Genaville LLC | 50 | 50 |
| Oberalis LLC | 50 | 50 |
¹ Data aggregated via LexMachina
² 79% of cases filed in Southern District of Florida
648 total cases, 519 in E.D. Tex. 80.09% of all patent litigation cases filed in 2015 were filed in E.D. Texas.
A patent infringement case can be filed in any of the US districts that have personal jurisdiction over the defendant, which include states or districts where the defendant's products are sold, regardless of whether or not an office exists in that location. (1) The large number of cases filed in E.D. Texas could point to the favorable disposition of the court patent holders. See Eastern District of Texas.
Hypothesis 2: Patent litigation is increasing, but only because of the uncertain nature of technological developments and how patent claims apply to that. Patent litigation surges are consistent with major shifts in technological developments
- High tech is the only sector where a majority of cases were NPE related
Method: Find a reliable graph of developments within the technology sector and match it to the one below [1]:
Hypothesis 3: Data that supports increased costs to innovation rely on broad and confusing definitions for NPEs and PAEs
Interesting facts that may deserve extra research
- Historically, the Eastern District of Texas is the top patent dispute venue. In 2015, 44% of all patent litigation was filed in E.D. Texas, most of which were assigned to Judge Rodney Gilstrap
