What is meant by patent troll?

A patent troll is a derogatory term used to describe a company that uses patent infringement claims to win court judgments for profit or to stifle competition. The term may be used to describe a number of business activities that utilize patents and the court system to earn money.

What is an example of a patent troll?

One type of patent troll refers to a company that buys up others’ patents, and then uses them to file lawsuits. An example of that would be Acacia Research Corporation, which buys patents (or “partners with” with patent owners) to sue companies, and splits the proceeds.

Is Apple a patent troll?

Patent troll Optis sees award cut Apple Inc. was told to pay $300 million in royalties after a retrial in a patent dispute over wireless technology used in its iPhones and other products, part of a global fight with a company that says it owns patents on the LTE cellular standard.

Are patent trolls legal?

Although it may not seem like a legitimate business practice, patent trolling is indeed legal. Patent trolls base their threats on patent law, which gives the holder of a patent the absolute right to seek damages from any infringement of the patent.

What does a troll mean?

2 : a person who intentionally antagonizes others online by posting inflammatory, irrelevant, or offensive comments or other disruptive content Internet trolls In the late 1980s, Internet users adopted the word “troll” to denote someone who intentionally disrupts online communities.—

How many patent trolls are there?

According to the USITC, patent trolls filed 1 out of a total of 54 Section 337 cases in 2016; 3 of 59 in 2017; 1 of 50 in 2018; 3 of 47 in 2019; and 3 of 48 in 2020. Thus, according to the USITC, 4.26 percent of investigations filed between 2016-2020 were filed by patent trolls.

How do you avoid patent trolls?

Here are a few ways that you can protect yourself before and during the process of interacting with a patent troll.

1. Have an IP lawyer in your corner.
2. Follow due process in protecting your own intellectual property.
3. Join a group or organization that specializes in protecting against patent trolls.

How much do patent trolls make?

More than half of the businesses targeted by patent trolls make less than $10 million per year. Why do PAEs do it? Because it’s lucrative. Given that the average cost of defending a patent troll lawsuit can be more than $3 million, many companies choose to settle quickly.

Are patent trolls good?

In fact, Patent trolls PAEs are good for the economy and according to research, play a valuable role in innovation.

How do you avoid a patent troll?

Did the patent troll successfully sue any companies?

By the count of one company that tracks them, patent trolls have filed 470 lawsuits in the first 4 months of 2020.

Can you sue a patent troll?

Tortious interference. Tortious interference claims could be asserted against patent trolls where their conduct is directed at actual or potential customers or business partners and has interfered with those relationships.