Already V. Nike: Takeaways For IP Owners

Law360, New York (January 18, 2013, 12:23 PM EST) -- The U.S Supreme Court recently issued its opinion in a closely watched case, Already LLC v. Nike Inc. In a decision that is almost certain to affect patent owners as well, the court unanimously affirmed the Second Circuit’s opinion and ended the speculation of commentators that trademark holders might no longer have the ability to dismiss an invalidity challenge by entering into a covenant not to sue.

The court concluded that an appropriately framed, broad covenant not to enforce a trademark against a competitor moots the...
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