The Discoverability Of Patent License Negotiations

Law360, New York (April 20, 2010, 1:59 PM EDT) -- Two recent rulings by the Eastern District of Texas reversed the court's prior precedent and held that both patent licenses and negotiations leading up to those licenses — which are part of a settlement of litigation—may now be discoverable and admissible for all purposes.

From a practical stand point, these decisions open up the possibility of a "trial within a trial," where significant time may be spent by the parties explaining the circumstances surrounding the settlement of another patent dispute.

For example, nonpracticing entities that have...
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