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A Proposed Response to the USPTO's Topic 1 Question on Functional Language ~pj | 202 comments | Create New Account
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A Proposed Response to the USPTO's Topic 1 Question on Functional Language ~pj
Authored by: Anonymous on Saturday, February 02 2013 @ 02:18 PM EST

I think you are confusing your personal opinion about the matter with the facts at the table.

If we take your example

Company A is sued for patent infringement. If they are found liable the damages are 100 millions. If on top of that the developers has read the patent the damages is 300 millions. There is no way the increment in productivity is worth 200 millions.

...you are of course right the productivity is not worth 200 millions...but your example is flawed in that you assume the company take the information in the patent and does not negotiate a suitable sum for getting a license to use the patent. A sum that would be much less than even 100 millions. I have read that patent awards are meant to be much higher than the going rate of the patent or else you would end in a situation where it is always beneficial to dodge paying until you are getting sued.

The lawyers will ignore your example (and possibly discredit the main arguments) because for someone with an assumption of patents being useful they will say you build your argument on additional costs associated with you stealing the ip of the patent and not paying what is rightly due to the patent owner.

The rub is of course that software patents without disclosure of code are too vague for you to say if you implement the same as the patent without that you sit down and do the implementation of the patent yourself.

Treble damages is about punishing companies that refuse to play it legal and steal the ideas from other companies. In itself this is not a bad idea, but the concept does not work if you can't tell if you infringe or not. Treble damages is a very real concern at working floor of the software developing company because the cost to evaluate if you infringe even a fraction of the patents in existence is greater that developing the software from scratch.

You can't use the concept of treble damages in itself as argument for patents not being cost/benefit effective. You can of course build more arguments about how software companies can not ever hope to get patent clearance from all patents due to the cost of doing this and that one single failure to prove that you don't infring a certain patent expose you treble damages, but that is a different argument than what you put forward.

All in all I think the benefit of adding any kind of addendum need to be carefully considered. Adding just part of the argument about the matter expose you to loose credibility if the other side can make it look like you missing important aspects of the matter. I am not speaking about the other side proving you wrong (clearly that is impossible), but that it is terribly hard to prove that all programmers agree with us and partial arguments about how things are can easily be countered with arguments about it being more complicated. Such situation might make the court less inclined to listen to the addendum and in worst case even parts of the argument. Sticking to only answer the very questions being asked might be the more wise strategy. If the argument is good it does not need to be placed in an addendum...and if it is partial then it weaken the credibility of your answer.

[ Reply to This | Parent | # ]

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