Targeting Rogue and Opaque Letters (TROL) Act

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H.R.2045: Targeting Rogue and Opaque Letters (TROL) Act (2015)

The TROL Act was introduced on April 28, 2015, by Representative Michael Burgess (R-TX) and was referred to the Subcommittee on Commerce, Manufacturing, and Trade. Currently the bill has 6 cosponsors. (Congress)

The TROL Act is intended "to stop the practice of fraudulent and abusive patent demand letters while preserving the ability of patent holders to legitimately protect their intellectual property." (House) GovTrack predicts the TROL Act has a 24% chance of being enacted.

Summary

• Requires demand letters to include specific details about the person with the rights of the patent, parent companies, contact information, and information on how the recipient is infringing the patent
• Establishes that sending demand letters that misrepresent patent rights is an unfair or deceptive act or practice under the FTC Act and allows the FTC and State Attorneys General to fine violators

Directs the Federal Trade Commission, and authorizes state attorneys general, to enforce against written communications (commonly referred to as demand letters) that represent in bad faith that the recipient bears liability or owes compensation for infringing an asserted patent. Requires the pattern or practice of sending such bad faith demand letters to be treated as an unfair or deceptive act or practice in violation of the Federal Trade Commission Act.

Sets forth the types of bad faith representations, compensation requests, or omissions that are considered to be unfair or deceptive.

Provides an affirmative defense if the sender can show that statements, representations, or omissions were mistakes made in good faith, which may be demonstrated by a preponderance of evidence that the violation was not intentional and resulted from a bona fide error notwithstanding the maintenance of procedures reasonably adapted to avoid any such error.