Patent Damages II

Patent Law

4.20.04

United States Patent 4,373,847 Hipp ,   et al. February 15, 1983 Releasable locking device

A releasable locking device is provided for securing a parked vehicle to an adjacent upright structure. The device includes a first means mounted on the upright structure and a second means mounted on the first means for vertical movement relative thereto between operative and inoperative mode positions. When in an operative mode, the second means is in a raised position and interlockingly engages a portion of the parked vehicle. A third means is provided which releasably retains the second means in an operative mode and prevents accidental movement of the second means from an operative mode position to a lower inoperative mode position. The first means includes guides for restricting movement of the second means to a substantially vertical path.

Inventors: Hipp; Steven J. (Milwaukee, WI); Hahn; Norbert (Cudahy, WI) Assignee: Rite-Hite Corporation (Cudahy, WI) Appl. No.: 260340Filed: May 4, 1981

Proper Compensation

• PP. 1101 et seq: “Property rule” vs. “liability rule”– Injunction vs damages; K vs property

• Majority: Higher damages appropriate here; foreseeable harm to patentee’s market

• Dissent: No, good reasons for lower damages here: (1) Reward for commercialization, not “fallow” inventions; (2) Injury to property right, not market

Grain Processing

• 4 production processes; one (# 4) non-infringing

• “Practically instantaneous” transition from infringing process to noninfringing one

– See why this is important?

• But Process 4 was not actually used . . .

Other damage theories

• Price erosion• Market share rule• Lost sales of related

but unpatented products

• Post-expiration sales

Not just lost sales, but

lower price—because infringer provides

price competition

Larry Solum, USD Law School

Other damage theories

• Price erosion• Market share rule• Lost sales of related

but unpatented products

• Post-expiration sales

Relative market share of patentee relative to

non-infringers

would remain the

same without the infringer.

Other damage theories

• Price erosion• Market share rule• Lost sales of related

but unpatented products

• Post-expiration sales

Components and other

related products which are normally sold with

the patented product.

Other damage theories

• Price erosion• Market share rule• Lost sales of related

but unpatented products

• Post-expiration sales

Head-start theory.

Competitor cannot enter

market immediatel

y post-expiration.