Live data from Hacker News

Texas Jury Strikes Down Patent Trolls’ Claim To Own the Interactive Web

wired.com

41–50 of 51 posts

Re: Texas Jury Strikes Down Patent Trolls’ Claim To Own the Interactive Web

#41
post #31

> The dueling teams of lawyers have spent millions creating elaborate presentations Did the lawyers spend millions, or did they bill millions?

Probably spent millions in getting expert testimonials. Those aren't cheap. Of course they turned around to bill the clients for the work with cost plus.

All in a day's work.

Re: Texas Jury Strikes Down Patent Trolls’ Claim To Own the Interactive Web

#42

> Apple, Argosy Publishing, Blockbuster, Citigroup, eBay, Frito-Lay, JP Morgan Chase, New Frontier Media, Office Depot, Perot Systems, Playboy Enterprises International, Rent-A-Center, Sun Microsystems (bought by Oracle while this litigation was underway), and Texas Instruments. ^^ The list of companies who settled with Eloas before the patent was ruled invalid. A part of me wishes companies had a legal obligation to…

Can the companies that settled ask for their money back?

Re: Texas Jury Strikes Down Patent Trolls’ Claim To Own the Interactive Web

#43
post #42

> Apple, Argosy Publishing, Blockbuster, Citigroup, eBay, Frito-Lay, JP Morgan Chase, New Frontier Media, Office Depot, Perot Systems, Playboy Enterprises International, Rent-A-Center, Sun Microsystems (bought by Oracle while this litigation was underway), and Texas Instruments. ^^ The list of companies who settled with Eloas before the patent was ruled invalid. A part of me wishes companies had a legal obligation to…

Can the companies that settled ask for their money back?

Most likely not. They buy the licence to indemnify themselves, like insurance. But when you don't use your insurance you don't get the money back.

Re: Texas Jury Strikes Down Patent Trolls’ Claim To Own the Interactive Web

#44
post #43
post #42

Earlier quoted context omitted.

Can the companies that settled ask for their money back?

Most likely not. They buy the licence to indemnify themselves, like insurance. But when you don't use your insurance you don't get the money back.

It's closer to a protection racket than insurance in this case, isn't it?

Re: Texas Jury Strikes Down Patent Trolls’ Claim To Own the Interactive Web

#45
post #43

Earlier quoted context omitted.

Most likely not. They buy the licence to indemnify themselves, like insurance. But when you don't use your insurance you don't get the money back.

It's closer to a protection racket than insurance in this case, isn't it?

Yup, that basically sums up how patent trolling works. Threaten with a government backed court order for unknown millions. Offer a special deal worth hundreds of thousands to take away that threat.

Public corporations tend to go with option 2 even though they know 75% of it is bullshit. They have to list any outstanding lawsuits as liabilities every quarter. Investors ask lots of questions about these liabilities. Expenses are cheaper than liabilities so it's better to turn those liabilities into relatively, small expenses than potentially large liabilities.

Small private companies also go for option 2. Cheaper to pay them off than be billed $200/hour for a lawyer and the court fees.

Re: Texas Jury Strikes Down Patent Trolls’ Claim To Own the Interactive Web

#46
I have to wonder when I keep hearing about these cases: if you have say a 50% chance of a favorable ruling on some absurd patent, and the upside is billions of dollars in shakedown payments, backed by the authority of the judicial system, how much would a disreputable company be willing to spend on the chance of getting such a ruling? How many other companies, seeing such rulings, would try to get their own? How many cases would they bring on the chance of getting the ruling? I ask somewhat rhetorically, but of course I'm suggesting by asking the answer is "a lot" and also suspecting that there do exist people that will prop up shell companies that bring case after case after case until they get rulings that enable them to legally blackmail others.

Re: Texas Jury Strikes Down Patent Trolls’ Claim To Own the Interactive Web

#47
post #36

Personally, I think it's crazy that some court in Texas even gets a chance at deciding a case with a reach like this. Heck, they were talking about basically shutting down the web or turning it into yet another "you have to pay big bucks to participate" medium of which we definitely have enough already.

Yes, court in Texas shall not be allowed to judge anything important ;-)

Re: Texas Jury Strikes Down Patent Trolls’ Claim To Own the Interactive Web

#48

Earlier quoted context omitted.

> -The subject matter is likely to be mostly to totally outside of a person's technical depth and factual experience. (Here I try and think if someone asked me to decide some question related to something like advanced particle physics, chemistry, or the tax code). Not just "likely"; anyone who had such experience would get kicked off the jury. Nobody on Hacker News will ever get to serve as a juror on a patent trial…

And yet if someone is "biased" against murder, they will let you be a witness in a murder trial. Love the legal system.

Murder is criminal, patents are civil. They are completely different, and they absolutely should be.

Re: Texas Jury Strikes Down Patent Trolls’ Claim To Own the Interactive Web

#49

Earlier quoted context omitted.

> -The subject matter is likely to be mostly to totally outside of a person's technical depth and factual experience. (Here I try and think if someone asked me to decide some question related to something like advanced particle physics, chemistry, or the tax code). Not just "likely"; anyone who had such experience would get kicked off the jury. Nobody on Hacker News will ever get to serve as a juror on a patent trial…

I think it's worth noting that as a nation we have chosen to be "biased" in favor of patents. A patent is presumptively valid. To find a patent invalid a jury's standard is "clear and convincing evidence." By contrast the standard for infringement is "a preponderance of the evidence."

Its worth noting that those standards evolved when patents were subject to much more intense review by the patent office, and it was (procedurally) easier for the patent office to just reject an application.

One of the easiest potential fixes to the US patent system would just remove the no longer warranted presumption of validity from patents.

Re: Texas Jury Strikes Down Patent Trolls’ Claim To Own the Interactive Web

#50
post #36

Personally, I think it's crazy that some court in Texas even gets a chance at deciding a case with a reach like this. Heck, they were talking about basically shutting down the web or turning it into yet another "you have to pay big bucks to participate" medium of which we definitely have enough already.

Every case has to start somewhere. If the obscure court screwed up somehow, they can always appeal it up the chain.
Post reply on HN