High Court Sets Patent Exhaustion Law Back On Track

Law360 (June 10, 2008, 12:00 AM EDT) -- For the first time in over fifty years, and certainly since the U.S. Court of Appeals for the Federal Circuit was formed, the Supreme Court has directly addressed the law of patent exhaustion this week in Quanta Computers Inc. v. LG Electronics Inc., Slip Op. (Sup. Ct. Jun. 9, 2008).

In Quanta, the Supreme Court has confirmed that “[t]he longstanding doctrine of patent exhaustion provides that the initial authorized sale of a patented item terminates all patent rights to that item.” (Slip op. at 5)....
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