Intellectual Property Law Commons^™

Trolling For Trolls: The Pitfalls Of The Emerging Market Competition Requirement For Permanent Injunctions In Patent Cases Post-Ebay, Benjamin H. Diessel

Michigan Law Review

In eBay v. MercExchange, a unanimous Supreme Court announced that a new four-factor test should be employed by district courts in determining whether to award an injunction or damages to an aggrieved party whose intellectual property has been infringed. In the context of permanent injunctions in patent cases, district courts have distorted the four-factor test resulting in a "market competition requirement." Under the new market competition requirement, success at obtaining an injunction is contingent upon a party demonstrating that it is a market competitor After consistent application in the first twenty-five district court cases post-eBay, the market competition requirement …

Exclusion Confusion? A Defense Of The Federal Circuit's Specific Exclusion Jurisprudence, Peter Curtis Magic

Michigan Law Review

Specific exclusion has become a controversial limitation on the doctrine of equivalents, which is itself an essential and controversial area of patent law. The doctrine of equivalents allows a patentee to successfully claim infringement against devices that are outside of the literal reach of the language used by the patentee in her patent to describe what she claims as her invention. The Supreme Court has prescribed some of the outer limits of the doctrine of equivalents and articulated the underlying policy concerns that inform its analysis-noting that courts should balance protection of the patentee's intellectual property with the public's reasonable …

Should Patent Infringement Require Proof Of Copying?, Mark A. Lemley

Michigan Law Review

Patent infringement is a strict liability offense. Patent law gives patent owners not just the right to prevent others from copying their ideas, but the power to control the use of their idea--even by those who independently develop a technology with no knowledge of the patent or the patentee. This is a power that exists nowhere else in intellectual property (IP) or real property law, but it is a one that patentees have had, with rare exceptions, since the inception of the Republic. In an important paper in the Michigan Law Review, Samson Vermont seeks to change this, arguing …

"By Night She Fought For Fair Use": Restoring The Integrity Of Copyright Law, One Comic-Book Reader At A Time, Jessica Sawyer Wang

Michigan Law Review

Students of copyright law quickly learn that the subject is counterintuitive. One of the first revelations of this is-somewhat alarmingly-the purpose of copyright itself. Contrary to popular belief, copyright is not just about protecting an artist's creation, but sharing it. Simultaneously protecting a work and sharing it helps to fulfill the Constitution's mandate that Congress "promote the Progress of Science ... by securing for limited Times to Authors ... the exclusive Right to their ... Writings." In other words, Congress is to promote learning and the advancement of our culture. The symbiosis of protecting and sharing is effected through the …

The Angel Is In The Big Picture: A Response To Lemley, Samson Vermont

Michigan Law Review

An invention within close reach of multiple inventors differs from an invention within distant reach of a lone inventor. The differences between these two archetypes of invention -"reinventables" and "singletons"- remain unexploited under current U.S. law. Should we reform the law to exploit the differences? Mark Lemley and I agree that we should. To date, those economists who have closely examined the issue concur. What are the differences between reinventables and singletons? First, reinventables can be brought into existence with incentives of lower magnitude. This suggests that we can obtain reinventables at a lower price than we currently pay-i.e., with …

Independent Invention As A Defense To Patent Infringement, Samson Vermont

Michigan Law Review

Under current law, independent invention is no defense to patent infringement. This Article argues that independent invention should be a defense, provided the independent inventor creates the invention before receiving actual or constructive notice that someone else already created it. The defense reduces wasteful duplication of effort and enhances dissemination of inventions without lowering the incentive to invent below the necessary minimum. To be sure, the defense lowers the incentive for inventions that face significant odds of being invented by more than one inventor By enabling a second inventor to compete with a first inventor the defense essentially breaks up …

Mark(Et)Ing Nondiscrimination: Privatizing Enda With A Certification Mark, Ian Ayres, Jennifer Gerarda Brown

Michigan Law Review

People in the United States strongly support the simple idea that employers should not discriminate against gays and lesbians. In a 2003 Gallup poll, eighty-eight percent of respondents said that "homosexuals should . . . have equal rights in terms of job opportunities." Even prominent social conservatives- such as George W. Bush-give lip service to the idea that employment discrimination on the basis of sexual orientation is wrong. But gay rights advocates have achieved only modest legal reform on this issue. Seventeen states have prohibited employment discrimination against gays and lesbians. A seemingly modest bill, the Employment Non Discrimination Act …

Pathological Patenting: The Pto As Cause Or Cure, Rochelle Dreyfuss

Michigan Law Review

The Patent Act was last revised in 1952. The hydrogen bomb was exploded that year, vividly demonstrating the power of the nucleus; in the ensuing postwar period, the Next Big Thing was clearly the molecule. Novel compounds were synthesized in the hopes of finding new medicines; solid-state devices exploited the special characteristics of germanium and other semiconductors; as investments in polymer chemistry soared, advice to the college graduate soon boiled down to "one word ... just one word[:] ... Plastics." Over the next half-century, things changed dramatically. "Better living through chemistry" has begun to sound dated (if not sinister). Genomics …

Private Standards In Public Law: Copyright, Lawmaking And The Case Of Accounting, Lawrence A. Cunningham

Michigan Law Review

Government increasingly leverages its regulatory function by embodying in law standards that are promulgated and copyrighted by nongovernmental organizations. Departures from such standards expose citizens to criminal, civil, and administrative sanctions, yet private actors generate, control, and limit access to them. Despite governmental ambitions, no one is responsible for evaluating the legitimacy of this approach ex ante and no framework exists to facilitate analysis. This Article contributes an analytical framework and proposes institutional mechanisms to implement it. The lack of a comprehensive framework for evaluating copyright to standards embodied in law is surprising because the range of standards potentially affected …

The Changing Meaning Of Patent Claim Terms, Mark A. Lemley

Michigan Law Review

The claims of a patent are central to virtually every aspect of patent law. The claims define the scope of the invention, and their meaning therefore determines both whether a defendant's product infringes a patent and whether the patent is valid. One of the most significant aspects of patent litigation is "claim construction," the process of defining the words of the claim in other, theoretically clearer words. Courts construe the claims of the patent by starting with the plain meaning of their terms as they would be understood by a person having ordinary skill in the art, or PHOSITA. Claim …

Search And Persuasion In Trademark Law, Barton Beebe

Michigan Law Review

The consumer, we are led to believe, is the measure of all things in trademark law. Trademarks exist only to the extent that consumers perceive them as designations of source. Infringement occurs only to the extent that consumers perceive one trademark as referring to the source of another. The most "intellectual" of the intellectual properties, trademarks are a property purely of consumers' minds. The simple idealist ontology underlying trademark law is largely responsible for the law's characteristic instability. Since 1992, the Supreme Court has considered - and in some cases, reconsidered - seven trademark cases. The Court's copyright cases garner …

Planting A Standard: Proposing A Broad Reading Of In Re Elsner, Alicia L. Frostick

Michigan Law Review

This Note will show that one can read Elsner broadly to encompass both plant-type and widget-type inventions, and that applying Elsner to both plants and widgets is within the current statutory framework and case law. Such a reading would change the § 102 bar for inventions patentable under § 10i29 (hereinafter referred to as "widgets") as well as for plants. Part I of this Note argues that congressional sources require a flexible test-one that does not prejudice any objects under the Patent Act. Part II discusses the judicial interpretation of the Patent Act prior to Elsner in order to argue …

Copyright's Communications Policy, Timothy Wu

Michigan Law Review

There is something for everyone to dislike about early twenty-first century copyright. Owners of content say that newer and better technologies have made it too easy to be a pirate. Easy copying, they say, threatens the basic incentive to create new works; new rights and remedies are needed to restore the balance. Academic critics instead complain that a growing copyright gives content owners dangerous levels of control over expressive works. In one version of this argument, this growth threatens the creativity and progress that copyright is supposed to foster; in another, it represents an "enclosure movement" that threatens basic freedoms …

Cyberdemons: Regulating A Truly World-Wide Web, Andrew P. Lycans

Michigan Law Review

In the decade leading up to the twenty-first century, the number of Internet-related legal disputes grew exponentially. This growth continues into the new millennium, introducing old problems in a new context. For instance, in the field of copyright, Eric Eldred, the operator of a website dedicated to posting literary works already in the public domain, challenged the Copyright Term Extension Act ("CTEA"). The CTEA blocked his plans to post works copyrighted in 1923, works which under the previous statute would have entered the public domain in 1999. Looking to trademark law, the field has become obsessed of late with providing …

Copyright And Time: A Proposal, Joseph P. Liu

Michigan Law Review

This Article makes a very specific and concrete proposal: it argues that courts should adjust the scope of copyright protection to account for the passage of time by expressly considering time as a factor in fair use analysis. More specifically, this Article argues that the older a copyrighted work is, the greater the scope of fair use should be - that is, the greater the ability of others to re-use, critique, transform, and adapt the copyrighted work without permission of the copyright owner. Conversely, the newer the work, the narrower the scope of fair use. Or, even more concretely, this …

Pliability Rules, Abraham Bell, Gideon Parchomovsky

Michigan Law Review

In 1543, the Polish astronomer, Nicolas Copernicus, determined the heliocentric design of the solar system. Copernicus was motivated in large part by the conviction that Claudius Ptolemy's geocentric astronomical model, which dominated scientific thought at that time, was too incoherent, complex, and convoluted to be true. Hence, Copernicus made a point of making his model coherent, simple, and elegant. Nearly three and a half centuries later, at the height of the impressionist movement, the French painter Claude Monet set out to depict the Ruen Cathedral in a series of twenty paintings, each presenting the cathedral in a different light. Monet's …

Locating Inevitable Disclosure's Place In Trade Secret Analysis, Jennifer L. Saulino

Michigan Law Review

For ten years, William Redmond, Jr., worked for PepsiCo, the maker of the sports drink All-Sport. Redmond's status as General Manager gave him access to trade secrets. PepsiCo protected those trade secrets by contract, and, as is typical, PepsiCo required Redmond to sign a confidentiality agreement covering all "confidential information relating to the business of [PepsiCo]." This confidentiality agreement, like most of its kind, protected the company from the danger that an employee who knew secret information would change jobs and disclose that information. In late 1994, Redmond accepted a position with Quaker's Gatorade division, a major competitor of PepsiCo's …

Toward A "New Deal" For Copyright In The Information Age, Pamela Samuelson

Michigan Law Review

Jessica Litman believes the public needs a very good copyright lawyer, and if I have not mistaken her intentions, she is volunteering for the job (pp. 70-73). A century of Congressional deference to industry-negotiated compromises has produced, she argues, a copyright law that is both incomprehensible and unfair. This incomprehensibility might be tolerable if copyright law governed only commercial relations among industry participants, all of whom have copyright counsel. To the extent that copyright law applies to the conduct of ordinary persons, its incomprehensibility presents serious difficulties. Moreover, to the extent that copyright law makes illegal many ordinary activities of …

Swallowing The Apple Whole: Improper Patent Use By Local Rule, Ellisen S. Turner

Michigan Law Review

During patent infringement litigation, the Federal Rules of Civil Procedure ("FRCP") and the federal district court's local rules govern the parties' pretrial discovery and motion practice. The U.S. District Court for the Northern District of California has adopted the most comprehensive local rules to date covering pretrial procedures in the patent litigation context. The Northern District of California Patent Local Rules ("Local Rules") may come to have a significant impact throughout the federal courts, as it appears that other jurisdictions and commentators are looking to the Local Rules for guidance. For instance, the American Bar Association Section of Intellectual Property …

Judges, Juries, And Patent Cases - An Emprical Peek Inside The Black Box, Kimberly A. Moore

Michigan Law Review

The frequency with which juries participate in patent litigation has skyrocketed recently. At the same time, there is a popular perception that the increasing complexity of technology being patented (especially in the electronic, computer software, biological and chemical fields) has made patent trials extremely difficult for lay juries to understand. These developments have sparked extensive scholarly debate and increasing skepticism regarding the role of juries in patent cases. Juries have participated in some aspects of patent litigation since the enactment of the first patent statute in 1790, which provided for "such damages as shall be assessed by a jury." The …

Copyright Misuse And Modified Copyleft: New Solutions To The Challenges Of Internet Standardization, Chip Patterson

Michigan Law Review

The Internet is a truly global community within which myriad economic, social and technological forces interplay to cause its standardization. Much of the competition in the industry has revolved around which product will become the standard for a given market sector. Some markets have seen victors; for example, TCP/IP is the Internet communication protocol, MP3 appears to be dominating music compression, and Microsoft Corporation's Windows ("Windows") is clearly the standard operating system. Similarly, the Internet must adopt a standard for web browsing and searching, for email, and for web programming. In many cases, the competition for this standard will be …

Publish Or Perish, Gideon Parchomovsky

Michigan Law Review

The race model has been the darling of patent economists and game theorists. This model assumes that the winner, namely the first to invent, takes the patent grant with the market dominance that comes with it, whereas the second comer, in the best tradition of sports contests, obligingly accepts her loss and quietly vanishes from the scene. While the sports analogy has provided a useful framework for understanding the economics of invention, it has obfuscated an important aspect of the inventive process: the possibility of strategic publication of research findings in order to prevent the issuance of a patent to …

Limiting Patentees' Market Power Without Reducing Innovation Incentives: The Perverse Benefits Of Uncertainty And Non-Injunctive Remedies, Ian Ayres, Paul Klemperer

Michigan Law Review

Uncertainty and delay in patent litigation may have unforeseen virtues. The combination of these oft-criticized characteristics might induce a limited amount of infringement that enhances social welfare without reducing (or without substantially reducing) the profitability of the patentee. Patent infringement is generally viewed as socially inefficient because infringement reduces the patentee's ex ante incentive to innovate. Limited amounts of infringement combined with increased patent duration, however, can substantially reduce the distortionary ex post effects of supracompetitive pricing without reducing the patentee's ex ante incentives to innovate. Indeed, this Article derives a legal regime that preserves the incentive to innovate by …

Lochner In Cyberspace: The New Economic Orthodoxy Of "Rights Management", Julie E. Cohen

Michigan Law Review

Ninety-three years ago, in Lochner v. New York, the Supreme Court struck down a maximum-working-hours law for bakers as an impermissible invasion of employer-employee liberty of contract and, by implication, of the employer's property rights in his business. Lochner came to symbolize, and was vilified for, a vision of state power as rigidly circumscribed by the operation of judicially-determined laws of social ordering. By the late 1930s, the Court had changed course and accepted that the states' police power - or, in the case of Congress, the commerce power - encompassed even protective regulation of the parameters of the private …

Is Turn About Fair Play? Copyright Law And The Fair Use Of Computer Software Loaded Into Ram, Chad G. Asarch

Michigan Law Review

Computer systems, especially those in heavy-use commercial settings, often require routine maintenance to continue functioning properly. Many businesses turn to an independent service organization ("IS0") to provide computer maintenance services because ISOs frequently charge less than the original equipment manufacturer ("OEM") for those services. The tremendous growth in computer use has spawned a multi-billion dollar computer maintenance industry in the United States, and ISOs and OEMs have become engaged in fierce competition for this computer service business. The struggle between ISOs and OEMs to capture this expanding market has spilled over into the courts, spawning a number of recent decisions …

The Copyright Act Of 1976 And Prejudgment Interest, Jon M. Powers

Michigan Law Review

This Note argues that prejudgment interest should be presumptively available on damages-plus-profits awards under section 504(b) but should not be available for statutory damages under section 504(c). Part I argues that Supreme Court precedent suggests that the explicit reference to interest found in the Patent Act does not prevent courts from awarding prejudgment interest under the 1976 Copyright Act. Part II asserts that the 1976 Copyright Act's silence regarding prejudgment interest does not represent a congressional choice to exclude this remedy and that, in the face of this silence, the underlying purposes of section 504 should determine the propriety of …

Rhetoric And Reality In Copyright Law, Stewart E. Sterk

Michigan Law Review

My first objective in this article is to explore the gulf between copyright rhetoric and copyright reality. After examining copyright rhetoric, the article demonstrates how neither the need to generate creative activity nor the desire to reward deserving authors provides a plausible justification for current copyright doctrine.

Why, then, does copyright doctrine continue to expand? The concluding section suggests some answers. Interest-group politics provides an obvious answer and one well-substantiated by the history of copyright legislation. But the story does not end with interest-group politics. Instead, I suggest that the nation's elite, including its lawmakers, has a stake in believing …

Intellectual Property And The Costs Of Commercial Exchange: A Review Essay, Robert P. Merges

Michigan Law Review

A Review of The Commercial Law of Intellectual Property by Peter A. Alces and Harold F. See

Defining Computer Program Parts Under Learned Hand's Abstractions Test In Software Copyright Infringement Cases, John W.L. Ogilive

Michigan Law Review

This Note proposes a set of computer program part definitions that develop Learned Hand's abstractions test to make it more useful in software infringement cases. The Note takes no position on the proper scope of protection for software under copyright law, but argues that no consensus is possible on which program parts deserve copyright protection until courts recognize that computer programs are composed of components whose definition lies beyond judicial control. Program parts defined in conclusory legal terms will never provide a stable basis for reasoned debate over the conclusions presumed in the definitions.

Does A Copyright Coowner's Duty To Account Arise Under Federal Law?, Craig Y. Allison

Michigan Law Review

This Note discusses both the source of the accounting rule and the proper forum for applying the rule. Part I provides a general history of joint ownership and the duty to account and suggests that the number of litigants presenting joint ownership claims will probably increase. Part II discusses joint ownership case law chronologically. This Part shows that the case law is consistent with the view that the duty to account was a creation of the federal courts. Part III argues that the accounting rule is federal common law and that federal jurisdiction necessarily follows for all copyright accounting cases. …