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Technology Stocks : Aahh...iNEXTV (AXC) The NEXT Thing!

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To: HPilot who started this subject	3/8/2001 8:19:28 PM
From: DrD	of 4169

Patents: The rules of the game are changing. Tis no wonder Bramson is being very careful. This article is an excerpt from a msnbc website. msnbc.com Check out the entire article. DrD <<<< Some of my investment-banking firm’s clients have been the targets of such ploys. They work this way: Once a small company has obtained a breakthrough patent, a large company “wallpapers” around it by filing a series of closely related patents, which the Patent and Trademark Office (known to patent lawyers as the Big Business Patent Office) all too readily issues. The large company then sues the little guy for patent infringement. Unless the little guy has a lot of money to defend the claim, it has little choice but to fold. A Boston intellectual-property lawyer with whom I work closely, Tony Laurentano, says, “If you are a small company looking down the barrel of a $2-million or $3-million lawsuit, you will be inclined to settle with the big company by granting it a license for your technology — for small money.” Small Business on MSNBC Stories and resources for standout small firms • Click here to bookmark One of our clients in the energy-technology business spent 15 years and millions of dollars to develop and patent its innovative designs. At long last, the company’s cutting-edge technology is attracting big press and big money. But in the past 5 years some of the largest multinationals in the world have secured conflicting patents. Litigation is about to begin. Inevitably, the parties will settle for terms that spell out a cross-licensing agreement. My client would thus lose the monopoly that is rightfully his under patent law, the reward for his years of effort. If he were a Fortune 500 company, his bulk might have kept the big guys at bay. >>>>

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