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Re: Re: Re: Re: Re: Rght of exclusive licensee to sue third party for infringment


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Posted by JOY L. DEAL on February 19, 2002 at 17:21:55:

In Reply to: Re: Re: Re: Re: Rght of exclusive licensee to sue third party for infringment posted by M Arthur Auslander on February 18, 2002 at 21:48:57:

: : : Dear Mr. Auslander,

: : : Thank you for your prompt reply.
: : : I am not sure that your answer solves the problem - if a Licensor grants a right to a Licensee to sue a third party infringer in a situation where the law, by default, does not grant such right to the Licensee - I am not sure the court will automatically recognize such a right and respect the standing of the Licensee.
: : : Isn't it a sort of an assignment of rights which is subject to the consent of the third party ?
: : : Take this analogy for example - let's say a bank loans me $100 and I don't pay back. Can the bank assign its right to the $100 to my neighbor who has an account payable of $100, without my consent ? Aren't I entitled to choose my creditor ?

: Dear M,

: NO.

: M. Arthur Auslander

: Auslander & Thomas-Intellectual Property Law Since 1909
: 505 Eighth Avenue, New York, NY 10018
: 212-594-6900, fax 212-244-0028, aus@auslander.com
: America On line Instant Messenger screen name artauslander
: ELAINE'S Workshop®
: E arly L egal A dvice I s N ot E xpensive


Dear M

Mr. Auslander is the expert here. However, my understanding is, the licensor shall thereupon have the right, but not the obligation, to take whatever action it deems necessary, including the filing of lawsuits, to protect the rights of the parties to this agreement and to terminate such infringement. Licensee shall cooperate with licensor if licensor takes any such action, but all expenses of licensor shall be borne by licensor. If licensor does not wish to take any action hereunder, licensee shall also have the right, but not the obligation, to take any such action, in which case licensor shall cooperate with licensee, but all of licensee's expenses shall be borne by licensee. Licensee shall receive 75% of any damages or compensation it recovers for such infringment and shall pay 25% of such damages or compensation to licensor, after deducting its cost. I understand you to say, can B sue if only a portion of the patent is licensed? According to patent infringment law, infringment has occured if only one claim of the patent is infringment. Again, I am no expert, but I would have to think you had a case. Mr. Auslander please don't blast me. It is just quality conversation.





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