Justices Ponder Curbing Downstream Patent Licenses

Law360, New York (January 13, 2008, 12:00 AM EST) -- In a closely watched case that may prove pivotal to the direction of patent law, the U.S. Supreme Court on Wednesday seemed to be leaning toward reining in patent holders like LG Electronics Inc. from forcing companies downstream to pay licensing fees after a license has already been granted.

The High Court heard oral arguments in Quanta Computer Inc. et al. v. LG Electronics Inc., which appeals a Federal Circuit decision that sided with LG and determined the South Korean computer maker improperly used computer components...
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