White House Press Secretary Jay Carney discussing steps to target Patent Trolls. (Evan Vucci, AP)
A recent Supreme Court decision involving a patent troll’s claim that Newegg infringed on their ownership of a shopping cart logo just got even better. Not only do we not have to pay off the troll, but the court has granted our bill of costs in the full amount requested of $60,507.32. This is a huge milestone for the U.S. judicial system which has been criticized heavily by tech companies for its complacency toward patent troll lawsuits.
While the award is appreciated and welcomed, it also reinforces the need to reform a legal system that currently encourages abuse from patent trolls. There are too many “companies” with patent assertions that are able to collect money through licensing agreements that have no merit. Apple alone was sued 92 times in the last three years; prompting them to settle with over half of these trolls to avoid lengthy and costly legal battles.
In recent public comments filed with the Federal Trade Commission, Apple states:
No firm has been targeted by PAEs (Patent Assertion Entities) more than Apple. Apple has litigated against PAEs 92 times in the past three years alone and has received many more demands. Its experience confirms what many others have documented: although PAE activity is not necessarily harmful in theory, far too many PAEs exist only to extract undeserved royalties. As both a market leader and the PAEs’ favorite target, Apple has a special interest in policies that discourage this behavior.
There is nothing more frowned upon in the tech community than patent trolls. Their abuse of the patent system not only costs legitimate companies millions of dollars, but it also makes PAEs more powerful which in turn leads to more bogus lawsuits against some of the most innovative corporations in the world. Many of these trolls hide behind shell companies that are able to operate without being detected by the government and it’s a problem that needs to stop.
Newegg is committed to keep on battling any patent troll that comes our way. We want to continue selling you your favorite tech products and aren’t going to settle with any troll. If you’re like us and want to help us stand up to these trolls, show your support by wearing our official “Don’t Settle” t-shirt. Show the world (and most importantly trolls) how you feel and keep on fighting the good fight!
