EDTA (was GIFT) Message Board

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Technology Stocks : EDTA (was GIFT)

EDTA 0.000200

+300.1%

Mar 7 3:00 PM EST

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To: Steven Durrington who wrote (981)	4/8/1997 12:26:00 PM
From: GRC	of 2383

Steven, Your understanding is partially correct. Damages are assesed as lost profits (if the patent owner would have made the sale but for the infringement) or as a reasonable royalty. Here they will probably be a reasonable royalty. Damages may be enhanced (up to three times) and attorneys fees assessed if the infringer willfully infringes. Willfull infringement is when the infringer knows of the patent, and continues to infringe without an excuse. An acceptable excuse is an opinion from a patent attorney advising you that you do not infringe, or that the patent is invalid. It is very likely compuserve has such an opinion, since they are so beneficial. I have yet to see a patent infringement case where enhanced damages were upheld on appeal when the infringer had a decent opinion. Also, damages are ONLY for past infringement (as of the trial date). Future infringement is prevented by an injunction. The future activity can affect settlement, or the price of a license. Obviously, GIFT will be in a very strong negotiating postition if compuserve must either pay up or immediately cease all infringing activities. GRC

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