A pair of unusual cases gives us a roadmap for invalidity and inequitable conduct standards. Judge Albright shows us that he will hold parties to their promises. And we learn more about the boundaries of privilege waiver.
Texas is home to over 40% of all patent litigation. And with that many on-going cases, important changes happen weekly. To keep you updated, Michael Smith, author of the award winning edtexweblog.com, shares both his research and his local perspective about what's happening around the entire state.
SPEAKERS
Wayne Stacy, Michael Smith
Wayne Stacy 00:00
Welcome, everyone to this week's episode for the Berkeley Center for Law and Technology Last Week in Texas. I'm Wayne Stacy, the Executive Director for BCLT. And we have with us today, Michael Smith, from Scheef and Stone and the author of the famous ED Tex Blog. So Michael, tell us what we need to know about Texas last week.
Michael Smith 00:25
Well, in the last week since we spoke last, we've actually had a couple of patent trials in Marshall. The first one was a repeat plaintiff. It's a plaintiff who had a trial a few years ago, and he had another case against a group of wireless providers. The defendants were AT&T, Sprint, Verizon, and T Mobile, and it had to do with their use of HTC phones. The jury and Judge Gilstrap for court found that the claims were valid, but that they were not infringed. And that was after a six day trial. The other martial jury verdict came shortly after that, and that was actually a retrial on damages. In the Panoptus case, that case was brought by Panoptus against Apple. And back in April Judge Gilstrap set aside the original damages verdict in that case, which was $506 million.
Wayne Stacy 01:23
So Michael, conventional wisdom is be careful when you ask for a retrial on damages when liability has already been determined. What what happened here that that gave somebody the boldness to seek a retrial?
Michael Smith 01:37
Well, actually, they didn't. This came from the court. I mean, of course, Apple, Apple had lost on liability, they had lost on damages. And they asked for that to be set aside and to have a new trial. That wasn't what was granted here. Judge Gilstrap set aside the damages verdict on his own, because of his concern, after watching the trial that the parties never addressed, what a fair and reasonable licensing, right would be. And he said in the order, I realized that both sides had tactical reasons for not bringing this up. But when we got to the end of the case, and I could see what the evidence was, I think you were you were missing a key part of the damages analysis when you're talking about patents that are supposed to be essential to technical standards, and the jury really didn't have what it needed. So it was Judge Gilstrap that said, I'm not setting aside a liability verdict, but we're going to have a retrial on damages. Now, you raise a very good point, it's very dangerous to have a damages only retrial. I had one of those with Judge Mazzant April of this year, and it was not fun experience at all, on the defense side, and we have had some other damages retrials and martial. And generally speaking, the defendant does works on a damages retrial. So this is a little little out of the norm, that the verdict against Apple dropped from 506 million to $300 million.
Wayne Stacy 03:02
Well, anything else out of the Eastern District of Texas last week?
Michael Smith 03:06
Well, yeah. Again, going back to the first case I talked about about the wireles