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 Chilling Effects Clearinghouse > E-Commerce Patents > Notices > divine e-commerce patents (2) (NoticeID 472, http://chillingeffects.org/N/472) Location: https://www.chillingeffects.org/ecom/notice.cgi?NoticeID=472

divine e-commerce patents (2)

November 15, 2002

 

Sender Information:
Divine, Inc.
Sent by: [Private]
Bell, Boyd & Lloyd
Chicago, IL, 60602-420, US

Recipient Information:
[Private]
[Private]
WA, 98226, USA


Sent via: UPS
Re: Infringement of divine's Patents

Dear Sirs,

Unfortunately, it does not appear that you believe divine is serious with respect to enforcing its patent rights. You have now ignored letters from divine as well as our recent correspondence regarding [your] infringement of certain of divine's patents.

In order to ensure that unnecessary legal expenses are not generated, we would like to resolve this matter on an amicable basis without resort to the courts. Therefore, I am enclosing, under cover of this letter, a draft License Agreement. I believe you will find the terms of the license to be quite reasonable. If so, please contact me so we can finalize the License Agreement. Of course, if you would like to discuss any of the terms of the License Agreement, please contact me.

However, please rest assured that we will not allow [your] infringement of divine's patents to continue unabated. To ensure there are no miscalculations and to demonstrate divine's resolve with respect to this issue, I am also enclosing, a Complaint that we recently filed against FTD.com for patent infringement. For your information, this matter was resolved after the Complaint was filed.

I hope to hear from you in the near future regarding our licensing proposal. However, if I do not hear from you by November 22, 2002, the licensing offer will be revoked and divine will proceed accordingly.

Very truly yours,

[Private]

FAQ: Questions and Answers

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Question: Does it matter if infringement is accidental or innocent?

Answer: It does not matter for liability purposes that a patented infringer was unaware of the patented technology when infringement occurred. However, willful or intentional infringement may carry a higher monetary penalty than innocent infringement.


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Question: What is a patent?

Answer: A patent is a form of intellectual property. A U.S. patent is a right granted by the United States Patent and Trademark Office to an inventor to exclude others from making, using, selling, offering for sale, or importing an invention for a limited time. In the U.S., Patent law is driven by the language of the Patent Act, 35 U.S.C.


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Question: What are the consequences of being found to have committed patent infringement?

Answer: A patent owner may recover money damages in the form of a "reasonable royalty," which is the amount the patent holder could have earned in licensing the patented technology. Under certain circumstances, the patent owner may recover lost profits as an alternative measure of damages. The money damages amount may be tripled if the infringement is found to be "willful." The patent owner may also be entitled to enjoin further use and sale of the patented invention.


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Question: What does it mean to "infringe" a patent?

Answer: If you are accused of patent infringement, you are accused of having made, sold or offered for sale an invention described in one of the claims of a valid patent, without the patent owner's authorization. To determine if infringement has occurred, a court will look at the patent's claims, interpret them, and compare them to your device, process, method etc. Infringement occurs if your accused item performs each of the elements of any of the claims. Note that you may be liable for inducing infringement or contributing to infringement, even if you did not directly infringe a patent, if you encourage or assist someone else to infringe a patent.


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Question: How can I search for a U.S. Patent?

Answer: Issued U.S. patents can be found on the United States Patent and Trademark Office website, at http://www.uspto.gov/patft/index.html. They are also available at patent depository libraries around the country. For more information on libraries, see http://www.uspto.gov/go/ptdl/.


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Question: What are the defenses to patent infringement?

Answer: There are two basic lines of defense: non-infringement and invalidity.

Non-infringement: To infringe a patent, one must practice every element of a claim. If you do not practice one or more of the elements of a claim, then you do not infringe that claim. This determination often rests on how a court interprets the language of the claims you are accused of infringing.

Invalidity: Only a valid patent can be enforced. Issued patents are presumed valid, but this presumption can be overcome if prior art exists that demonstrates an invention was not novel or that it was obvious at the time the patent application was filed. Especially in the case of software and Internet business method patents, articles disclosing or describing the patented inventions may exist in trade publications that would not have been found by the patent examiner and would not have been part of the prosecution file of an issued patent on file with the USPTO. The patent holder's failure to name all inventors may also invalidate a patent.


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Question: What does it mean to obtain a license for a patent?

Answer: A license, in its simplest terms, is a promise by the patent owner (the licensor) not to sue the licensee for exercising one of the patent owner's rights. Patent laws grant the patent owner rights to exclude others from making, using, or selling the patented invention. Using a contract called a "license," a patent owner may choose to allow one or more others to make, use and/or sell the invention, usually in exchange for payment. As long as the licensee abides by the terms of the license contract, a patent owner cannot sue the licensee for infringement. Patent infringement cases are often settled by the accused infringer entering into a license agreement with the patent owner and promising to pay the patent owner royalties.


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