Tuesday, February 26, 2008

Rambus Inc. - Damages

In the abbreviated summary of Amado v. Microsoft the jury awarded a 4 cent royalty, an injunction issued, was stayed and damages trebled during Microsoft's appeal. Amado wants $2.00 and Microsoft wants 4 cents. CAFC sent the matter back to the district court to determine the appropriate royalty rate stating:

" . . . take into account the change in the parties' bargaining positions, and the resulting change in economic circumstances, resulting from the determination of liability . . ."

An informative post at the Patent Prospector:

http://www.patenthawk.com/blog/2008/02/relief.html

"When a district court concludes that an injunction is warranted, but is persuaded to stay the injunction pending an appeal, the assessment of damages for infringements taking place after the injunction should take into account the change in the parties' bargaining positions, and the resulting change in economic circumstances, resulting from the determination of liability--for example, the infringer's likelihood of success on appeal, the infringer's ability to immediately comply with the injunction, the parties' reasonable expectations if the stay was entered by consent or stipulation, etc.--as well as the evidence and arguments found material to the granting of the injunction and the stay."

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