New “Hair Trigger” Can Turn Negotiations Into Litigation

Law360, New York (April 4, 2007, 12:00 AM EDT) -- The U.S. Supreme Court’s January 2007 decision in MedImmune clarifying the power of federal courts to hear patent licensing disputes has already had an immediate and dramatic impact.

In Sandisk v. ST Microelectronics, the federal circuit reversed decades of precedent and has now made it substantially easier for a prospective licensee to gain a tactical advantage by filing a lawsuit rather than negotiating a license.

Because of this fundamental change, the tactics used to make or respond to unsolicited licensing offers will now change.

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