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How to Avoid BlackBerry Brinkmanship: Patent Re-examination Practice As a Parallel Track to Defend Patent Litigation

By George Wheeler
September 29, 2006

In NTP Inc. v. Research In Motion Ltd., 270 F. Supp. 2d 751 (E.D. Va. 2003), the jury found that Research in Motion's ('RIM's') BlackBerry' e-mail system infringes several valid claims of NTP's patents in suit. RIM did not request re-examination of the patents in the U.S. Patent and Trademark Office ('USPTO') until after the jury verdict was entered, and after the Director of the USPTO himself started re-examinations of five relevant patents. After the jury had finished and the USPTO had acted alone, RIM filed 14 additional re-examination requests. Several requests were filed for each relevant patent.

While all those re-examinations were pending, the Federal Circuit affirmed that some of the relevant patents were valid and infringed. NTP Inc. v. Research In Motion Ltd., 418 F.3d 1282, 1290-1291 (Fed. Cir. 2005). The Supreme Court denied certiorari, thus ending the litigation except for the decision on what relief to grant NTP. Finally, when RIM was on the brink of being enjoined, even though the re-examinations had led to several final rejections, it settled with NTP in March of this year to save its business from the disruption that would likely attend the injunction. Re-examinations, however, cannot be settled, so the RIM re-examinations are proceeding today. If NTP is unable to save its pertinent patent claims they ultimately will be canceled, even though the courts did not find them invalid. Future cancellation of claims will not help RIM, however, as it has already paid the full price of its license.

This re-examination strategy failed in the BlackBerry case for simple reasons: The re-examinations were started too late, and too many requests were filed. Filing multiple re-examinations for a single patent, as RIM did, greatly retards the progress of all the re-examinations. The final rejections in several re-examinations had little value to stay litigation, and the re-examinations could not be concluded in time to allow RIM to escape an injunction without settling.

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